Xcel Energy to close long-standing Bayport plant

After nearly 60 years of operation, Xcel Energy will officially close the Allen S. King Plant in Bayport in 2028. The closure is part of the company’s broader efforts to transition from coal-based energy to a cleaner, more sustainable version across the Upper Midwest.

“We studied lots of different things for the site,” said Brian Elwood, regional vice president of customer and community services in Wisconsin and Michigan. “Through that process, we determined that the least costly and viable option is to install solar within proximity to the site.”

Elwood said an agreement with private landowners in Wisconsin will allow the company to lease land for solar energy. Through an existing transmission line at the plant site, which spans the St. Croix River, the solar energy would also flow through the site’s grid interconnections. The company is also developing new solar farms in western Wisconsin to replace the plant’s energy generation capacity. About 650 megawatts of electricity are expected to come online in the area by 2029. This project, according to Elwood, is being referred to as the 10 Mile Creek Solar Project.

“We will utilize the same structures along the river that are in place right now,” said Elwood. “We would not change the structure sizes until we get on land. If you’re on the river, those structures will look the same, and it’ll be along that same corridor.”

The company will reassign new roles to the employees currently at the plant. “We’ve never lost an employee due to a coal plant closure,” said Michael Wilhelmi, community relations manager for counties including Ramsey and Hennepin. “We’re always able to find a new role for them. We’re working closely with them and our representation to make sure they find a good job within our company.”

As of recently, the plant has been operational for less than half of each year, primarily during the summer and winter months when additional power is required on the grid. According to Wilhelmi, these operations significantly influence the rate at which the plant will be taken down.

“Last year, we only operated for about three months. A lot of times, the plant is idling to be called upon to make energy. We can’t really take anything apart, including the stack, until after it closes to coal operations for good.”

After the plant is decommissioned, its smokestack and surrounding buildings will be demolished, a process overseen by the state’s Pollution Control Agency. Wilhelmi noted that, due to the plant’s long-standing presence, the demolition will be closely monitored to ensure no harmful materials or particles are released into the atmosphere.

“We start at the top, cut the bricks, and then push them inside the stack so they fall to the bottom. Then we’ll have loaders scoop them up, and we’ll safely dispose of the material after that. We will do it so that we control the dust within a very careful demolition.”

Wilhelmi added that the company remains fully compliant with federal and state regulations, ensuring the plant’s operational status. “We’re in keeping with all air emission rules, water discharge permits and a variety of others. We make sure we comply with all rules and laws.”

Both Elwood and Wilhelmi say there are no plans to build a new natural gas combined-cycle plant near the original site to maintain energy reliability during the transition. “It’s just not something we need,” said Wilhelmi. “We have a very thorough process for determining what we’ll need to serve our customers. We have a deep commitment to the St. Croix Valley, and that will continue well into the future.”

“We serve all of our customers in an integrated fashion in the upper Midwest,” said Elwood. “They benefit from all the generators that are in our system, regardless of what state they’re located in. It’s a very efficient system that doesn’t rely on one particular generator to serve our customers in a particular region.”