From the HERE City State Desk
Xcel Energy plans to sell its Michigan utility operations in the western Upper Peninsula to two utilities that already serve the region, the companies announced Tuesday.
Under the proposed deals, Xcel’s Michigan natural gas operations would go to SEMCO ENERGY Gas Company and its electric operations would go to Upper Peninsula Power Company, known as UPPCO. If regulators approve, about 6,000 natural gas customers would be served by SEMCO and about 9,000 electric customers would be served by UPPCO. The customers are in Gogebic and Ontonagon counties.
Terms of the deals were not disclosed. The sale needs state and federal regulatory approval, and the companies expect it to close in 2027.
The companies said service will continue without interruption during the transition, with no immediate changes to billing, rates or customer service. Customers do not need to take any action now and should keep working with their current provider, according to the announcement.
Karl Hoesly, president of Xcel Energy-Wisconsin and Michigan, said in a statement that the company is committed to a smooth transition for customers and employees.
Minneapolis-based Xcel serves about 3.9 million electric customers in several states, so the Michigan sale would shrink that number by about 0.2%. Its Michigan service area is managed as part of its Wisconsin division.
