Minnesotans need to put a stop to the Orwellian plan known as the “Natural Gas Innovation Act” or NGIA, which became law in 2021. It is aimed at forcing most homes and workplaces onto an electricity grid, that is increasingly unaffordable and unreliable due to renewables.
The so called innovations to replace natural gas include absurd green technologies like heat pumps. This is at a time when electricity in MN is several times more expensive than natural gas. And this state is not alone, as at least a dozen others are looking to do the same.
CenterPoint Energy (CPE) and Xcel Energy both filed NGIA annual reports with the Public Utilities Commission (PUC), on June 1st and 15th respectively. I focus here on CPE’s NGIA report for 2025, given I recently and separately examined Xcel’s NGIA report.
CenterPoint’s NGIA overview
CPE’s annual NGIA report is for the entire calendar year. CPE points out in the cover letter that: “Through this second annual report, [CPE] reports back on activities from 2025, which included both internal and external developments as several pilots and projects get underway.” The report is 355 pages in length, and is structured as follows:
- Letter (P0) and Introduction (P1);
- Sections I – III: Required miscellaneous filing information (P1-P4);
- Section IV: Summary of Accomplishments (P4-P5);
- Section V: Quantitative Results Summary (P5-P14);
- Section VI: Workforce Development and Diversity (P14-P15);
- Section VII: Inflation Reduction Act Updates (P15-P19);
- Section VIII: Proposed Plan Modifications (P19-P25);
- Section IX: Pilot Performance Detail (P25-P70);
- Section X: Budget Flexibility Compliance Items (P70);
- Section XI: Cost Recovery Summary and Innovation Act Adjustment Proposal (P71-P74);
- Section XII: Progress Towards Achieving Cost Effectiveness Objectives (P74-P78);
- Section XIII: Conclusion (P79);
- Exhibit A: One Page Summary of Filing (P80-P81);
- Exhibit B: Compliance Matrix (P82-P93);
- Exhibit C: PGA and AAA Filings (P94-P95);
- Exhibit D: NGIA Tracker and Balance (P96);
- Exhibit E: NGIA Tracker Projections (P97);
- Exhibit F: Public Website Update(s) Since Last Report (P98-P101);
- Exhibit G: Cost/Budget Calculation Methodology – Structural Values (P102);
- Exhibit H: ICF Review of Greenhouse Gas Modeling Approach (P103-P110);
- Exhibit I: New Networked Geothermal Engagement Plan (P111-P244);
- Exhibit J: Proposed Revised Tariff Page (P245-P247);
- Exhibit K: Workforce Development Activities (P248);
- Exhibit L: R&D Project Report: RNG Potential Study (P249-P291);
- Exhibit M: R&D Project Proposal: Small Farm RNG Market Access (P292-P232);
- Exhibit N: Phase 1 Vendor Report for Pilot N (P333-P340);
- Exhibit O: Supporting Cost Benefit Metrics Workbook (P341);
- Exhibit P: Supporting Documentation Workbook (P342);
- Certificate of Service (P343) and List of Persons (P344-P355).
On pages 4-5, CPE summarises accomplishments including: “[The Company] is proud to report the first savings in energy consumption and GHG [greenhouse gas] reductions [and] is excited to provide an update on networked geothermal feasibility within its service area.”
CenterPoint’s NGIA highlights
CPE provides updates on the following 17 NGIA pilots:
- Pilot B: RNG Produced from Ramsey & Washington Counties Organic W (P25-P27);
- Pilot C: RNG RFP Purchase (P27-P31);
- Pilot D: Green Hydrogen Blending into Natural Gas Distribution System (P31-P34);
- Pilot E: Industrial or Large Commercial Hydrogen and Carbon Capture Incentives (P34-P36);
- Pilot F: Industrial Methane and Refrigerant Leak Reduction (P36-P38);
- Pilot G: Urban Tree Carbon Offsets (P38-P39);
- Pilot H: Carbon Capture Rebates for Commercial Buildings (P39-P41);
- Pilot I: New Networked Geothermal System (P41-P51);
- Pilot J: Decarbonizing Existing District Energy Systems (P51-P53);
- Pilot K: New District Energy System (P53-P55);
- Pilot L: Industrial Electrification Incentives (P55-P56);
- Pilot M: Commercial Hybrid Heating (P57-P59);
- Pilot N: Residential Deep Energy Retrofits and Electric Air Source Heat Pumps (P59-P62);
- Pilot O: Small/Medium Business GHG Audit (P62-P63);
- Pilot P: Residential Gas Heat Pumps (P63-P64);
- Pilot Q: Gas Heat Pumps for Commercial Buildings (P64-P65);
- Pilot R: Industrial and Large Commercial GHG Audit (P65-P70).
CPE also makes the following 1 proposal and 3 requests:
- New R&D Project: Small Farms Study (P20-P21);
- Pilot O: Request to Modify Thermal Energy Leader Requirements (P22-P23);
- Pilot P: Request to Discontinue Residential Gas Heat Pump Pilot (P23);
- Pilot H: Request to Discontinue Carbon Capture Rebates for Commercial Buildings (P23-P24).
Highlights from CPE’s NGIA pilots and requests include:
- Re Pilot I: “… additional empirical data has been collected from multiple utility-owned geothermal projects across the United States showing that, for the majority of these projects, the actual costs associated with the construction of a networked geothermal pilot have been significantly higher than anticipated.”
- Re Pilot J: “… will help existing district energy systems that currently use geologic gas identify opportunities to reduce the lifecycle GHG impact of their systems … In 2025, no customers selected to study a full decarbonization/electrification scenario.”
- Re Pilot K: “… will help current natural gas customers considering developing district energy systems … In 2025, 0 customers completed a New District Energy System (Pilot K) study and the Company paid rebates to 0 customers through Pilot K.”
- Re Pilot O: “… the largest energy savings recommendation in many audits is to replace the customer’s boiler with a condensing unit. This measure is often prohibitively expensive and complex. Because most customers are not opting for this high cost and high savings measure[.]”
- Re Pilot P: “… the planned supplier of combination (“combi”) space and water heating gas heat pumps had suspended all business operations. …not make this request out of concern for the viability of residential combi gas heat pumps as a promising future emissions reduction measure. … made due to changes…which impacted the technology’s availability during the current five-year NGIA Plan period.”
CenterPoint’s NGIA costs
As per page 10, CPE is looking to recover the following level of NGIA costs from rate payers:
- $2,427,787 spent in 2025, with 93% for pilots and 7% research and development (R&D);
- $5,114,820 spent so far under NGIA, which is 5% of the approved 5-year spend of $105,701,516, with the latter having 90% earmarked for pilots and 10% for R&D.
CPE is seeking to monetize their NGIA spending, through rate increases in natural gas tariffs for both customer classes, to take effect from January 1, 2027. These are found on page 246 as follows:
- Residential: 48% increase from $0.00360 to $0.00533 per therm;
- Commercial: 30% increase from $0.00618 to $0.00804 per therm.
Have your say, on NGIA
I read this long and dull report so you did not have to. The key takeaway is CenterPoint and the PUC are the conduits through which natural gas is intended to one day end in this state. It is about time Minnesotans of all political stripes … who prefer to keep their places warm, showers hot, clothes dry and food cooked … take a public stand and say, “Hands off my gas!“
The PUC has issued a “Notice of Extended Comment Period” on July 17, 2026 for CPE as follows:
- The new deadline for party initial comments is August 14, 2026 at 4:30pm;
- The new deadline for utility reply comments is September 16, 2026 at 4:30pm;
- The new deadline for party reply comments is October 14, 2026 at 4:30pm.
Anyone from the public can and should comment. Not just on the details of the plans and reports, but also on the ends, means and costs of the NGIA. One can submit comments here:
- Online: https://mn.gov/puc/get-involved/public-comments/, and follow the instructions.
- Email: [email protected]
- U.S. Mail: Consumer Affairs Office, Minnesota Public Utilities Commission, 121 7th Place East, Suite 350, St. Paul MN 55101