Xcel Energy Navigates Water Rights, Community Grants, and Rate Hike Proposals
Xcel Energy is currently involved in a variety of initiatives across its service areas, including the proposed sale of water rights to farmers in the Lower Arkansas River Valley, the launch of a community grant program with the Minnesota Wild, and a pending decision on a double-digit rate increase request. These developments highlight the company's multifaceted role in energy production, resource management, and community engagement.
Xcel Energy to Sell Water to Lower Arkansas River Farmers
Xcel Energy is planning to sell 12,500 acre-feet of water, valued at over $44 million, to farmers in the water-stressed Lower Arkansas River Valley. This initiative aims to aid the region's agricultural economy by transferring water rights previously held for power production. The water will be sold to a new irrigation company, with 70% ownership by farmers and 30% by Colorado Springs Utilities.
The sale is backed by a coalition including Xcel Energy, the Palmer Land Conservancy, farmers, and Colorado Springs Utilities. Advocates hope this deal can serve as a model for reducing tensions between agricultural interests and growing cities that rely on the same water resources. According to Todd Doherty of Western Water Partnerships, Xcel aims to benefit the community by selling the water to local farmers.
"The new company means farmers will become owners. It also means the water will remain in the Arkansas Basin." - Jennifer Jordan, spokesperson for Colorado Springs Utilities
While most are on board, some growers remain concerned about the long-term protection of the water. Jack Goble, general manager of the Lower Arkansas Valley Water Conservancy District, emphasized the need for a perpetual agreement to tie the water to the land.
Minnesota Wild and Xcel Energy Launch Community Power Play Grant Program
The Minnesota Wild and Xcel Energy have partnered to launch the Community Power Play Grant Program. This program will award three one-time grants of $10,000 each during the 2025-26 NHL season to support organizations that promote youth hockey in Minnesota. The grants will focus on covering fees, equipment expenses, ice time, and facility upgrades for local rinks.
Eligible applicants include Minnesota-based youth and amateur hockey associations, high school programs, and municipally owned rinks. Applications will be accepted in three periods, each focusing on a specific area of need: Period 1 (fees and equipment), Period 2 (ice time expenses), and Period 3 (rink and facility upgrades). More information is available at Wild.com/powerplay.
Xcel Energy Seeks Double-Digit Rate Hike in Minnesota
Xcel Energy is seeking a 13.2% rate increase in Minnesota over the next two years. This would result in an approximate $165 annual increase for typical customers. The company cites investments in clean energy projects, carbon-free nuclear plants, and expected electricity use growth as justification for the rate hike. The Public Utilities Commission (PUC) will ultimately determine the final rates.
The company's full statement details the reasons behind the proposed rate increase, including system reliability, clean energy investments, and customer experience improvements. Xcel also highlights that Minnesota residential electric bills are below the national average, and the company offers energy assistance programs for customers facing financial difficulties. The PUC encourages customer feedback on the proposed rate hike.
"Our main job is making sure that public’s interest is protected… Your voice is very important to us." - Hwikwon Ham, member of the PUC
