Below is a statement from Minnesota Department of Commerce Commissioner Grace Arnold following Friday’s Minnesota Public Utilities Commission (PUC) approval of a framework establishing how large energy users, including data centers, will pay for the additional costs they place on Minnesota’s electric system. 

The framework is intended to help protect existing residential and business customers from paying for new infrastructure and increased energy demand associated with very large users.  

The Minnesota Department of Commerce played a key role in legislation passed last year requiring utilities to develop consumer protections and rules for how large energy users pay for infrastructure costs. 

In addition to the customer protections advocated for by the Department of Commerce, the PUC also approved a Commerce recommendation requiring Xcel Energy to propose a voluntary clean energy tariff by Dec. 1. The tariff would give very large energy users another option to support Minnesota’s transition to 100 percent clean electricity by 2040, an initiative signed into law in 2023. 

“Minnesota is preparing for a future with growing electricity demand, and we have a responsibility to make sure that growth does not come at the expense of the families, seniors, small businesses and communities already connected to our electric system,” said Commissioner Grace Arnold. “We can support economic development while also protecting ratepayers, maintaining reliability and continuing to move forward on Minnesota’s clean energy goals. Today’s action helps establish important guardrails as utilities respond to growing demand from very large energy users.” 

Learn more in this news release from the PUC.