Revelations about undisclosed data center project in utility’s territory raises community concerns
On December 30, 2025, CURE formally petitioned the Minnesota Public Utilities Commission (PUC) to reassess its approval of the sale of ALLETE, the parent company of Minnesota Power, to two private equity investors—the Canadian Pension Plan Investment Board (CPP) and Global Infrastructure Partners (GIP/BackRock), a subsidiary of BlackRock, the world’s largest asset manager.
In its Petition of Reconsideration, CURE argues that new facts regarding data center development in Minnesota Power’s service territory have come to light since the PUC approved the acquisition on October 3, 2025, that warrant a reopening of the record. CURE cites information revealed through recent Data Practices Act requests that indicate that Minnesota Power was engaged in discussions with city staff about a potential hyperscale data center in Hermantown, MN, dubbed “Project Loon.” However, neither Minnesota Power nor the private equity partners disclosed these ongoing negotiations, even disavowing any specific plans for data centers during evidentiary hearings and testimony. The records put this in question and require more investigation by the PUC.
“No doubt Minnesota Power and its new private equity owners will say ‘nothing to see here,’” said Hudson Kingston, Legal Director for CURE. “But Hermantown records mirror concerns raised by community members in Hermantown and Duluth. The official record is incomplete, and the utility should account for what it hasn’t told the PUC and the public regarding its plans for Project Loon.”
CURE’s petition also notes that since the PUC’s approval, GIP/BlackRock has announced a number of multi-billion dollar deals to develop data center infrastructure across the U.S., raising concerns about conflicts of interest and potential impacts to the utility should the AI-driven building boom collapse.
“Handing Minnesota’s energy transition over to utilities controlled by the likes of GIP and BlackRock means handing the transition over to profit-driven interests looking to fuel the imperial drive of Big Tech and AI off the backs of ratepayers,” said Maggie Schuppert, CURE’s Director of Strategic Initiatives and a Minnesota Power customer. “It’s the antithesis of the people-centered, truly beneficial and affordable transition we urgently need right now.”
