New incentives are coming soon to support Minnesota’s energy resilience. Beginning August 1, 2024, incentives will be available for battery storage systems up to 50 kWh paired with solar energy systems. Systems of this size are typically found in residential or smaller commercial/community buildings. Battery storage can optimize the use of your solar generated energy and protect against power outages.
Energy storage incentives will cover a portion of installation costs. Two programs will be available with the following incentive levels:
Xcel Energy customers (administered by Xcel Energy):
- $175 per kWh up to a $5,000 maximum
- Income qualified $370 per kWh up to a $5,000 maximum
Outside Xcel Energy territory customers (administered by the Department of Commerce):
- $250 per kWh up to a $7,000 maximum
- Income Qualified Pilot Program $1,000 per kWh up to a $15,000 maximum ($270,000 in available program funds)
You can look up your electric utility by your address here. Funds are limited for both incentive programs and will be administered on a first come, first-served basis. The Department of Commerce will have approximately $2,160,000 available for incentives and is additionally collaborating with the Tribal Advisory Council on Energy to develop a program specific for Tribal Nations. Xcel Energy will have approximately $3,480,000 available for incentives. Additional program details will be shared in the next two months.
In March, the Xcel Energy storage program received approval. Xcel Energy’s program filing can be found in Docket number: E002/M-23-459. You can review the Final Decision on Xcel’s program here.
Check back here for updates and subscribe to the Consumer Announcements e-newsletter to receive email updates on this program. Additional program information can be found in Minnesota Laws Chapter 60, Article 12, Section 39 (for the program in Xcel Energy territory) and Article 10, Section 2 (for the program outside of Xcel Energy territory).
