The Investor
06 Oct 2026, 18:03
Xcel Energy to Sell Michigan Utility Operations to SEMCO and UPPCO
Xcel Energy (NASDAQ: XEL) announced an agreement to sell its Michigan natural gas operations to SEMCO ENERGY Gas Company and its electric operations to Upper Peninsula Power Company.
If approved by regulators, roughly 6,000 Xcel natural gas customers in Michigan will transition to SEMCO, while about 9,000 electric customers will move to UPPCO. The customers are located primarily in Gogebic and Ontonagon counties in the Upper Peninsula.
Xcel said the transaction is intended to place those customers with utilities that have a more concentrated regional focus in Michigan. During the transition, service is expected to continue without interruption, with no immediate changes to rates, billing or customer service processes.
The companies plan to work with regulators, employees and local communities on a detailed transition process. The transaction is expected to close in 2027, subject to required state and federal approvals.
For Xcel Energy, the divestiture will allow the company to focus investment on its larger operating territories, while SEMCO and UPPCO expand their customer bases in Michigan’s Upper Peninsula.
Xcel Energy (NASDAQ: XEL) announced an agreement to sell its Michigan natural gas operations to SEMCO ENERGY Gas Company and its electric operations to Upper Peninsula Power Company.
If approved by regulators, roughly 6,000 Xcel natural gas customers in Michigan will transition to SEMCO, while about 9,000 electric customers will move to UPPCO. The customers are located primarily in Gogebic and Ontonagon counties in the Upper Peninsula.
Xcel said the transaction is intended to place those customers with utilities that have a more concentrated regional focus in Michigan. During the transition, service is expected to continue without interruption, with no immediate changes to rates, billing or customer service processes.
The companies plan to work with regulators, employees and local communities on a detailed transition process. The transaction is expected to close in 2027, subject to required state and federal approvals.
For Xcel Energy, the divestiture will allow the company to focus investment on its larger operating territories, while SEMCO and UPPCO expand their customer bases in Michigan’s Upper Peninsula.
