Xcel Energy is launching a resiliency-as-a-service pilot for its commercial and industrial customers, with Xcel paying for 90% of the behind-the-meter microgrid costs upfront, getting paid back by the microgrid users over 10 years, and excluding the costs of the program from the rate base.
Xcel partnered on a microgrid at Panasonic’s headquarters in Colorado. Photo courtesy of Xcel Energy.
The Wisconsin Public Service Commission May 13 approved the plan (Docket 4220-TE-106), which involves commissioning customer microgrids that consist of numerous resources, said Deb Erwin, manager of regulatory policy for Xcel.
The issue of who pays for resiliency provided by utility microgrids is a thorny topic in the microgrid industry, with some arguing that microgrids can benefit all customers, especially if they provide resiliency, or are used as non-wires alternatives, or to reduce a utility’s peak demand.