Also in February 2022, the company received
approval for its Upper Midwest Generation
Resource Plan, including a full closure of all coal
plants in the region by 2030, over 85% carbon
reduction, 5,750 megawatts of new wind and
solar assets, and transmission infrastructure to
enable those resources. The plan also includes
a license extension of our Monticello nuclear
plant through 2040. Our proposed resource plan
in Colorado would add 5,100 megawatts of new
renewable generation assets and is expected
to reduce carbon emissions 87% by 2030. (See
story on pages 8-9).
Renewable energy expansion
Our Steel for Fuel strategy — building and
owning wind farms that deliver economic and
environmental benefits for our customers —
continues to drive organic growth, provide an
attractive shareholder return, and save customers
money. Since 2017, wind energy — through a
combination of fuel savings and tax credits —
saved customers an estimated $1.8 billion.
We now have over 11,000 megawatts of total
wind capacity, including nearly 4,500 megawatts
of owned wind. We also advanced plans for
owning our first large-scale solar projects. We
received approval for a 74-megawatt solar project
in Wisconsin and proposed a 460-megawatt
project near our Sherco coal plant in Minnesota.
Advanced Grid Initiative
Our $1.7 billion, multi-year Advanced Grid
Initiative, to use advanced technology to
bring customers cleaner, safer, more reliable
energy, achieved a significant milestone in
2021 as the first batch of 310,000 smart
meters were installed in Colorado. The two-way
communication capabilities will help improve
reliability, reduce the time it takes to restore
power during an outage, and provide customers
more options to manage their energy use and
save money. (See story on pages 6-7).
Operational excellence
Operational excellence is at the core of our
commitment and approach to operating our
plants and facilities and our preparedness to
respond to extreme weather and other events.
We remain the top-performing nuclear fleet in
the country. One of our units at Prairie Island
operated for a record 703 consecutive days
before its scheduled refueling in October.
Additionally, we have held our operating and
maintenance costs flat since 2013, helping to
keep customer bills low without compromising
safety or reliability. We remain committed to our
industry-leading “Safety Always” program.
(See story on pages 12-13).
Employee focus
As we have done since the start of the
pandemic, our employees continue to follow
extra safety protocols to protect themselves,
their coworkers, and their loved ones from
COVID-19. Approximately half of our employees
worked remotely in 2021 but are returning to the
office this spring with a hybrid work schedule as
the pandemic continues to recede.
The company added diversity, equity, and inclusion
(DEI) metrics to its corporate scorecard for the
first time in 2021, and I am pleased to report that
we exceeded our goals. Diversity and inclusion
make us a stronger company and a more
welcoming workplace, where we can attract and
retain top talent. (See story on page 2).
It’s an honor to lead this team — more than
11,000 employees strong — that is consistently
recognized with its outstanding business
practices and ethics, operational performance,
veteran hiring, and workplace culture. We were
honored to be named among the World’s Most
Ethical Companies® by Ethisphere for the third
consecutive year, reflecting the company’s
commitment to sustainability and ethical
business practices. We also were among the
Human Rights Campaign’s Best Places to
Work for LGBTQ Equality, earning a perfect
score on its Corporate Equality Index for the
sixth consecutive year. We were named one of
Fortune’s Most Admired Companies for the ninth
consecutive year and ranked second among
energy providers.
With the best employees in the industry
serving you, I’m excited about the future —
not just what’s in store for 2022, but for the
transformative progress on the horizon. You can
count on the Xcel Energy team to deliver for you.
Thanks for the continued trust you place in us.
Sincerely,
Bob Frenzel
Chairman, President and
Chief Executive Officer
HORIZON BOUND
ANNUAL REPORT 2021 5