Minnesota is moving closer to Governor Pawlenty's strategic goal of 800 megawatts of community based energy development (C-BED) in Minnesota by 2010. Xcel Energy has announced an accelerated commitment to securing wind resources for up to 500 megawatts of     C-BED energy by 2010.

"Xcel Energy's commitment means more homegrown, renewable energy in Minnesota," said Governor Pawlenty. "Adding 800 megawatts of C-BED in Minnesota is a significant clean energy investment in our rural economies. As energy producers, these communities will be able to capture energy dollars that would have left their local markets. These dollars can be reinvested again and again."

Minnesota has the nation's most comprehensive program designed to promote wind energy development at the local level, and C-BED is the cornerstone of that program. C-BED allows for a unique electric utility payment structure that helps Minnesota community wind projects receive a higher tariff in early debt years in exchange for a lower tariff in later years. To qualify, a C-BED project must be locally owned by Minnesota residents and projects must have support of the county board in which the project is located. 

C-BED is a component of Governor Pawlenty's strategic renewable energy goal of 25x'25 - to have 25% of the state's energy needs come from renewable resources, especially homegrown resources, by 2025. Currently, 11% of our electricity is generated by renewable sources.

"Xcel Energy appreciates Governor Pawlenty's vision and commitment to increasing the amount of energy generated by Minnesota-grown sources," said Cyndi Lesher, president and CEO of Northern States Power Company-Minnesota, an Xcel Energy company. "We share the governor's goal of maximizing Minnesota-grown renewable energy, consistent with reliability requirements and cost-effectiveness for our customers. Xcel Energy recently was named the No. 1 wind purchaser in the nation for 2005, and the governor's effort furthers our own support for wind power and our commitment to the environment."

Of its 500 megawatt commitment, Xcel Energy has 300 megawatts of projects underway. The projects are being developed in Clay, Cottonwood, Blue Earth, Dodge, Grant, Jackson, Nicollet, Nobles, Polk, Kittson, Pope, Redwood, Sibley, Wilkin, and Winona counties. The company expects these projects to be implemented by 2007.

Other Minnesota utilities are pursuing C-BED projects, including proposals for 20 megawatts by Great River Energy and another 30 megawatts by Southern Minnesota Municipal Power Agency.

Minnesota ranks fourth nationally in total installed wind capacity with 750 megawatts. The state's commitment to wind energy has attracted several manufacturing facilities:

·        In October of 2005, Governor Pawlenty attended a groundbreaking in Pipestone for a new wind turbine blade and nose cone manufacturing facility to be constructed and operated by Sulzon Rotor Corporation, a wind turbine manufacturer from India.  Representatives from Sulzon estimate that the facility will create between 100 and 200 new jobs. 

·        LM Glasfiber in Grand Forks recently announced it is expanding its wind turbine blade manufacturing facility which would create an additional 130 jobs.

"Community based wind energy projects are good for the environment and good for Greater Minnesota," said Governor Pawlenty. "These C-BED projects can act as economic anchors for rural communities, and our entire state benefits from environmentally superior, renewable energy."