About 15,000 customers in Gogebic and Ontonagon counties will keep their current service as regulators review Xcel Energy's planned sale of its Michigan gas and electric operations.
About 6,000 natural gas customers and 9,000 electric customers in Michigan's western Upper Peninsula are covered by the proposed deal. Xcel Energy plans to transfer its gas operations to SEMCO ENERGY Gas Company and its electric operations to Upper Peninsula Power Company. The companies announced the agreement on October 6, 2026.
The sale is not complete. No ownership change has taken effect. If state and federal regulators approve the transaction, the companies expect it to close in 2027.
The affected customers live in Gogebic and Ontonagon counties. The deal does not include utility customers in Farmington, Farmington Hills or Oakland County.
For now, nothing changes. Customers should keep using their current provider, paying bills through existing channels and contacting Xcel Energy as usual. They do not need to open a new account, submit an application or take other action during the review.
According to the company announcement, service should continue without interruption. Customers should not expect immediate changes to billing, rates or customer-service procedures.
Future changes will be announced in advance. Xcel Energy, SEMCO and UPPCO said they are working with regulators, community stakeholders and employees on a transition plan. The plan will cover customer communications and any eventual transfer of service.
The transaction still needs state and federal approval. The Michigan Public Service Commission will be among the state entities whose regulatory process may apply to the transfer. Official filings or notices should show any hearing, condition or approval that affects customers.
No new rates have been set. The sale also has no new billing schedule or specific handoff date.
Financial terms were not disclosed in the independent reporting reviewed for this article. That includes the purchase price and any projected effect on Xcel Energy's revenue or capital spending.
SEMCO would take responsibility for the natural gas customers. The Michigan utility says it serves more than 325,000 customers statewide through regulated natural gas operations. Its stated focus includes system safety, operational performance and customer service.
UPPCO would take over the electric accounts in the western Upper Peninsula. The company serves approximately 52,000 customers across 4,460 square miles. UPPCO says it and its predecessors have provided electric service in the region for more than 135 years.
The affected accounts would move to utilities that already operate in Michigan and the Upper Peninsula. Xcel Energy said it will keep investing in Wisconsin and its other service territories. SEMCO and UPPCO would use their regional infrastructure and operating experience for the customers covered by the agreement.
The announcement identifies no action by the City of Farmington, the City of Farmington Hills, the Farmington Public Schools board or Oakland County administration. Those entities are outside the Gogebic and Ontonagon service territory. The transaction does not concern their municipal services, school operations or electric and gas accounts.
Residents in Gogebic and Ontonagon counties should keep their current account information. They should also watch for direct notices from the utilities. Those updates are expected to explain when responsibility changes, whether customer-service contacts change and how future billing or rate procedures will work.
Until approvals are granted, Xcel Energy remains the provider for the affected customers. The expected 2027 closing cannot happen without the required regulatory approvals. The companies said the transition would take place gradually, not through an immediate service disruption.
This is an ownership change. It is not a current interruption of gas or electric service. The instruction for the roughly 15,000 affected customers is simple: continue working with Xcel Energy as usual and wait for official notice before changing payment, account or service arrangements.
