Minnesota Power to Convert Boswell Unit 3 to Gas by 2030

The Public Utilities Commission approved a plan for Minnesota Power to refuel Unit 3 at the Boswell Energy Center with natural gas by 2030. This decision marks the first major step in the facility's transition away from coal. The approval was granted during a review of the utility's Integrated Resource Plan on September 10.

Boswell currently generates power from two coal-fired units. The commission rejected the proposal to partially convert Unit 4 to gas. That decision has been deferred to the next planning cycle. The utility previously committed to stopping coal operations at Unit 3 in 2030 and Unit 4 in 2035.

Unit 4 Conversion Deferred

Minnesota Power sought approval to fuel Unit 4 with 40 percent natural gas. The commission did not approve this portion of the plan. Regulators chose to delay the decision until the next Integrated Resource Plan update. These plans outline power generation strategies for the next 15 years.

The deferral leaves the long-term status of Unit 4 uncertain. The utility must now wait for the next regulatory review process. This timeline aligns with the previous commitment to cease coal use at that unit by 2035.

Local Economic Implications

Boswell is a significant employer in Cohasset. The plant contributes roughly 20 percent of Itasca County's tax base. Local officials pushed for mandatory community meetings regarding the plant's future. These requirements are now part of the approved plan.

Itasca County Commissioner John Johnson addressed the commission during the hearing. He highlighted the county's 10-year plan for economic resilience. Minnesota Power has agreed to participate in this local planning effort. The goal is to prepare citizens for the economic shift away from coal.

Statewide Carbon-Free Mandate

Minnesota law requires utilities to provide 100 percent carbon-free electricity by 2040. The conversion to natural gas is a transitional step toward this goal. Regulators must balance this mandate with energy cost and reliability concerns. The source GN auto markets/energy: natural gas notes the regulatory tension in this sector.