Dive Brief:

• Officials in Minneapolis are negotiating to renew franchise agreements with Xcel Energy and CenterPoint Energy after the city backed away from the idea of creating its own municipal utility.
• Negotiations are ongoing but, according to media reports, the agreements will be for a shorter term than the previous 20-year contracts.
• The franchise agreements will likely include conditions requiring the utilities to assist Minneapolis in meeting its emissions reductions goals.

Dive Insight:

It was only a year ago that Minneapolis officials were threatening to create a muncipal utility, saying they could provide power to residents cheaper than Xcel and CenterPoint. After a consultant recommended shorter franchise agreements and a push to reduce greenhouse gas emissions, the city is back at the negotiating table.

According to the Minneapolis Star Tribune, negotiations are nearing resolution and could conclude next month. The Tribune reported Minneapolis Council Member Cam Gordon expects the final franchise agreements terms will largely resemble the city-hired consultant's February recommendations.