Xcel Energy is one of the biggest utilities in the US, serving 3.6 million customers across eight states. Back in December, the company pledged its commitment to going completely carbon-free by 2050 (and 80 percent carbon-free by 2030). Now, just months after making the pledge, the company announced it will be fast-tracking the retirement of its two remaining coal-burning power plants, which are in Minnesota, by 2030, as well as increasing the level of renewable energy it produces in every state that it operates in.

Considering that Xcel already had lofty ambitions when it comes transitioning to clean energy in comparison to the rest of the energy industry, why is the utility pushing its own ambitions even further? One of the main reasons is simple: renewables are getting really cheap. In its recent solicitations, Xcel has gotten more bids for renewables, with more variety, for much cheaper. Wind and solar plants paired with storage are bidding in cheaper than the ongoing operating costs of existing coal plants. In fact, renewables are even giving natural gas a run for its money.

Beyond this, Xcel says it’s simply responding to the demand of its customers. Cities like Denver have already made pledges to pursue 100 percent renewable energy, and Xcel wants to give it to them. With Xcel showing the energy industry that transitioning to renewables is good business, it could spur more utilities to follow their path.