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Minnesota PUC Approves Operations Extension for Xcel Energy's Prairie Island Nuclear Plant

LCG, August 15, 2025--Xcel Energy announced that the company received state approval yesterday from the Minnesota Public Utilities Commission to extend operations of the Prairie Island nuclear plant through the early 2050s. Prairie Island has two units that have a combined generating capacity of 1,100 MW. The units’ current operating licenses expire in 2033 and 2034.

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PGE Announces Addition of 475 MW of Battery Energy Storage Systems to Improve Grid Reliability and Costs

LCG, August 7, 2025--Portland General Electric (PGE) today announced the completion of three, four-hour lithium-ion utility-scale battery energy storage systems (BESS) in Oregon, adding 475 MW and more than 1.9 GWh of dispatchable capacity to serve the Portland metro area. Each of these BESS facilities can deliver power during peak demand or when other electric generating facilities are limited, which improves system flexibility, reliability and costs.

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Industry News

Back to the Drawing Board for Salem Harbor Plant

LCG, July 13, 2004--The Federal Energy Regulatory Commission (FERC) issued an order last week for PG&E National Energy Group Inc. - the bankrupt owner of the Salem Harbor Power Plant - to work with ISO New England and others to develop a better plan to address the $85 million environmental cleanup of the plant. The FERC did not approve the plans that would have Eastern Massachusetts electric customers pay environmental cleanup costs.

If an agreement on a new plan that addresses the FERC's concerns is not delivered within 60 days, the FERC will order a full investigation to determine if the plan "may be unjust, unreasonable...or otherwise unlawful."

The Salem Harbor power station includes three coal-fired generating units totaling 313 MW, plus 450 MW oil-burning unit. PG&E has requested ISO New England officials to shut down the plant, given its lack of funds to pay for the environmental cleanup costs. However, from a system reliability perspective, ISO New England sees the plant as needed to avoid blackouts. "The ISO is pleased that the FERC recognizes that a reliability operating agreement for Salem Harbor will be needed until power system conditions improve in the Greater Boston area," said Ellen Foley, a spokeswoman for ISO New England.

Those interested in purchasing the plant from PG&E must address the uncertainties regarding who carries the $85 million cost for environmental clean-up, plus the potential impact of transmission upgrades that would effectively (a) increase the competition between Salem and other generating stations and (b) reduce its "reliability" value from ISO New England's perspective.

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