US utility Xcel Energy has received battery units at its Blue Lake site in Minnesota, marking a construction milestone for a 135.5 MW battery energy storage system (BESS) expected to enter service in 2027.
The facility will comprise 132 battery units, providing up to four hours of storage and a total energy capacity of approximately 542 MWh. Xcel Energy estimates it will be capable of supplying electricity to around 125,000 homes during periods of peak demand.
The batteries will store electricity generated across the company’s Upper Midwest system, including output from wind, solar, nuclear and natural gas resources. The stored energy can then be dispatched when demand is higher, providing additional flexibility for grid operations.
Blue Lake forms part of a wider expansion of battery storage in Minnesota. Together with two planned projects in Becker, Xcel Energy expects to have more than 735 MW of battery storage operating in the state by the end of 2027. The company said this would create the largest battery portfolio in the Upper Midwest.
Xcel Energy–Minnesota, North Dakota and South Dakota president Bria Shea said storage would allow the utility to retain electricity when available and deliver it when needed, supporting reliability as energy demand grows.
The company also plans to make use of existing energy infrastructure at sites such as Blue Lake as it adds storage technology to its system.
The project is expected to begin serving customers in 2027.
