Nuclear Obligations (Tables)

12 Months Ended

Dec. 31, 2011

Summary of Funded Status of NSP-Minnesota's Nuclear Decommissioning Obligation Based on Approved Regulatory Recovery Parameters

At Dec. 31, 2011, NSP-Minnesota recorded and recovered in rates cumulative decommissioning expense of $1.3 billion. The following table summarizes the funded status of NSP-Minnesota's decommissioning obligation based on approved regulatory recovery parameters from the most recently approved decommissioning study. Xcel Energy believes future decommissioning cost expense, if necessary, will continue to be recovered in customer rates. These amounts are not those recorded in the financial statements for the ARO.

	Regulatory Basis
(Thousands of Dollars)	2011			2010
Estimated decommissioning cost obligation (2008 dollars)	$	2,308,196		$	2,308,196
Effect of escalating costs (to 2011 and 2010 dollars, respectively, at 2.89 percent per year)		205,960			135,342
Estimated decommissioning cost obligation (in current dollars)		2,514,156			2,443,538
Effect of escalating costs to payment date (2.89 percent per year)		2,602,207			2,672,825
Estimated future decommissioning costs (undiscounted)		5,116,363			5,116,363
Effect of discounting obligation (using risk-free interest rate)		(3,187,914	)		(3,856,516	)
Discounted decommissioning cost obligation		1,928,449			1,259,847
Assets held in external decommissioning trust		1,336,431			1,350,630
Underfunding (overfunding) of external decommissioning fund compared to the discounted decommissioning obligation	$	592,018		$	(90,783	)

Nuclear Decommissioning Expenses Recognized

Decommissioning expenses recognized as a result of regulation include the following components:

(Thousands of Dollars)	2011			2010			2009
Annual decommissioning recorded as depreciation expense: (a)
Externally funded	$	-		$	934		$	2,849
Internally funded (including interest costs)		(456	)		(777	)		(884	)
Net decommissioning expense recorded	$	(456	)	$	157		$	1,965

(a)	Decommissioning expense does not include depreciation of the capitalized nuclear asset retirement costs.