On December 10, 2025, Fresh Energy filed comments at the Minnesota Public Utilities Commission in support of Xcel Energy’s proposed “Capacity*Connect” (C*C) program (Docket #25-378). This innovative program originally came out of Xcel’s Energy’s 2024 Integrated Resource Planning process and could deploy as much as 200 megawatts of battery storage to support grid reliability. It would do this by incorporating “distributed energy resources” via a network of batteries, and would be the first of its kind in the country.
The C*C program, which Xcel Energy would implement in partnership with deployment services company Sparkfund, is unique from other approaches in that it would leverage utility-owned and operated batteries on Xcel Energy’s distribution system. This allows the Company to control how the batteries are used, maximizing their ability to deliver capacity to the grid when it needs it most.
In Fresh Energy’s comments, we supported the development of this program as a way to offset investment in new fossil fuel infrastructure and maximize the value of Xcel Energy’s existing grid. Additionally, because this program represents a large and long-term investment by the utility, we recommended that the Minnesota Public Utilities Commission ensure Xcel Energy’s commitment to equitable implementation of this program are clear, ensuring it benefits environmental justice communities and diverse suppliers. We recommended that the utility set a target of 40% of the program benefits to be delivered to designated environmental justice communities and establish specific siting targets that address reliability disparities in these designated areas. Read Fresh Energy’s comments here.
“Fresh Energy is pleased to support this novel approach to leverage the distribution system to bring clean electricity capacity on the grid quickly,” said Fresh Energy’s Will Mulhern, Director, Electricity. “What Xcel Energy and its partners learn from this program will position Xcel to maximize the clean energy benefits of its distribution system as well as be beneficial to utilities around the country as they decarbonize and grapple with growing capacity demands across their systems.”
The Minnesota Public Utilities Commission will take additional rounds of comments from stakeholders and hold a hearing on this issue in early next year. Fresh Energy looks forward to continuing to engage with utilities, other stakeholders, and the Commission on this docket.