Saint Paul's 2006 franchise agreement with Xcel
Saint Paul signed a 20-year franchise agreement with Xcel Energy, creating a complex fee structure with 13 gas and 20 electric customer categories. Each category had its own dollar-per-meter and per-energy-unit charges.
The complexity made it difficult to adjust fees equitably across customer classes.
Residential customers ended up paying a higher percentage of franchise fees than commercial and industrial users, which the 2026 agreement sought to correct.
The 2006 agreement created the very imbalances that the current overhaul addresses.
