Xcel Energy has filed a proposal with the Public Service Commission of Wisconsin establishing transparent rules ensuring that any new large electric customers pay 100 percent of the cost needed to serve them. If approved as filed, Xcel Energy’s proposal would ensure that these potential customers, including any new large data centers, would not raise the bills of any of the company’s current or future customers.
“We recognize the growing energy needs of large customers, including data centers, and the important role they play in driving economic growth and innovation in Wisconsin. At the same time, it’s critical that growth is managed in a way that does not raise the rates of customers and supports the communities we serve,” according to Karl Hoesly, President of Xcel Energy—Wisconsin and Michigan. “Together, these provisions establish firm and transparent eligibility rules and long‑term commitments that allows any necessary infrastructure to be planned and built responsibly.”
The proposal would apply to new customers or significant load expansions of 100 megawatts (MW) or greater and includes multiple safeguards to protect existing and future customers:
- Long‑term commitments: New large electric customers would be subject to binding 15-year commitments, supported by strong financial security provisions to ensure long-term benefits for communities.
- Exit fees: If a customer ends operations early, all remaining costs will be recovered.
- Minimum monthly payments: Will be required for these customers.
The proposal provides transparency while supporting good-paying construction and skilled-trade jobs necessary to build and maintain new electric infrastructure according to labor and community leaders.
“These large projects need to create real value for Wisconsin workers and Wisconsin communities,” according to Robb Kahl, Executive Director, Construction Business Group. “That means good-paying union jobs, strong local hiring and infrastructure investment and ongoing costs that are paid for by these large energy users — not shifted onto working families. Done right, this means more jobs, more economic activity and a stronger tax base. Xcel Energy’s proposal helps make sure these projects are done right.”