Utility With Residential Gas Choice Program To Acquire Adjacent Utility Without Residential Gas Choice Program

Xcel Energy, SEMCO ENERGY Gas Company (SEMCO), and Upper Peninsula Power Company (UPPCO) today announced the sale of Xcel Energy’s Michigan natural gas operations to SEMCO, and the sale of Xcel Energy’s Michigan electric operations to UPPCO.

SEMCO notably operates a natural gas choice program open to residential customers. Xcel Energy (Northern States Power Company) does not offer in Michigan a natural gas choice program open to residential customers

Xcel Energy serves 6,000 natural gas customers in Michigan, who would be served by SEMCO under the transaction

Xcel Energy serves 9,000 electric customers in Michigan, who would be served by UPPCO under the transaction.

UPPCO offers electric choice subject to Michigan's 10% choice cap.

Due to Xcel Energy's small size in Michigan and prior lack of active choice enrollments, Xcel Energy has, at times, been exempt from offering electric choice in Michigan

The companies state, "There will be no immediate changes to billing, rates or customer service processes and customers will be notified well in advance of any future changes taking place."

The companies expect the transaction to close in 2027.