Xcel Energy 2015 Annual Report Download - page 10

10 XCEL ENERGY | Annual Report 2015
NEW MEXICO: SUPPORTING GROWTH
THROUGH INFRASTRUCTURE INVESTMENTS
If your picture of southeastern New Mexico is a vast, open
landscape, think again—it is now one of the fastest-growing
sections of the state. Major developments include new oil and
natural gas extraction facilities, as well as expanded potash mining
and commercial and residential development. To meet the rapidly
increasing needs of the energy-rich areas of our service territory,
Xcel Energy is investing hundreds of millions of dollars in the energy
grid to provide reliable and affordable power to help drive the
New Mexico economy.
To meet the time-sensitive nature of our customers’ needs—
many of whom were burning diesel engines to fuel their
operations—we executed a plan to build new transmission
and distribution infrastructure to deliver electricity to the area.
During the process, we boosted the local economy by hiring local
contractors and businesses to assist in building seven substations
as more than 250 miles of transmission and distribution lines were
energized in 2015 in Lea and Eddy counties. Another substation near
Dora connected the large Roosevelt wind farm to the grid.
Xcel Energy is one of the fastest-growing, investor-owned
transmission systems with more than 20,000 miles of lines and
1,200 substations. In 2015, we energized 16 new substations,
upgraded 27 existing substations and placed more than 700 miles
of new lines into service—with our average cost per mile for new
transmission below the national average.
new competitive bidding capabilities and streamlining
key processes, which will lead to more accurate project
estimates in 2016 and beyond. We also energized two major
transmission lines in Minnesota as part of the multi-year
CapX2020 project to help bring our growing portfolio of
renewable energy to the marketplace.
Developments in 2015 set the stage for future growth of
our natural gas business, which is expected to increase as
carbon policy takes hold. The passage of key legislation
in Minnesota supports our ability to “gas up” smaller
communities previously served only by propane. We also
won the right—in true competitive fashion—to build a
pipeline to serve a coal-to-natural gas generation conversion
and will continue to look for opportunities to move upstream
in natural gas delivery.
Employees make it happen
Our 12,000+ employees are the cornerstone of our
business and the driving force behind our success. As
many of our long-tenured employees approach retirement,
our nationally recognized veteran hiring initiatives and
outreach programs with universities, trade schools
and community organizations are helping us manage a
signicant workforce transition so that we continue to
have The Right Mix of skills and experience to ensure
future success.
The Right Mix
Balance. Performance. Results. People. We have our eye on
The Right Mix in all that we do.
As we look ahead, rest assured we will take a leading
role in delivering for our customers and communities,
collaborating with stakeholders and building value for
you. Our performance over time, our ability to reach
new milestones and our understanding of a changing
marketplace demonstrate that Xcel Energy is well
positioned for long-term success.
Thank you for the trust you place in Xcel Energy. We know
you have options for your investment dollars, and we are
keenly focused to deliver the value proposition you have
come to know and expect. We look forward to another
outstanding year in 2016.
Sincerely,
Ben Fowke
Chairman, President and Chief Executive Ofcer
In 2015, Xcel Energy made signicant infrastructure investments to
power homes and businesses in southeastern New Mexico, one of the
fastest-growing areas of the state.