Across the United States, communities that have hosted coal-fired power plants for decades are now grappling with an urgent question: What comes next when those plants transition away from coal in the shift to cleaner, more affordable energy?

For rural areas especially, the transition presents both risks and opportunities. Without proper planning, changes to power plant operations can destabilize communities, businesses, and the tax base. With foresight and collaboration, however, transition planning can spark long-term economic diversification.

Itasca County, Minnesota, offers one such example, and GPI is proud to have supported stakeholders in this community and the surrounding region as they prepare for this transition.

Planning for economic change in Itasca County and beyond

Located in northeastern Minnesota, Itasca County is defined by forests, lakes, and mining. Its economy—as well as the economy of the greater northern Minnesota region—has long been tied to the iron ore and logging industries. These industries have been supported by reliable power from the Boswell Energy Center, a coal-fired power plant in the city of Cohasset. Boswell is operated by Minnesota Power, an investor-owned utility that serves the region.

Boswell units 3 and 4, the two remaining units in operation, have a combined capacity of more than 900 megawatts. In March of 2025, Minnesota Power presented a plan to the state’s Public Utilities Commission to cease coal operation at those units within the decade.

While the utility’s integrated resource plan will undergo a multi-year review process, leaders and stakeholders across the region knew they could not wait. The future of Boswell would deeply affect residents, businesses, and local governments.

Building a shared vision of economic diversification

Building on previous work of the City of Cohasset and other partners, the Itasca Economic Development Corporation, a nonprofit anchored in the community and focused on economic diversification, convened a task force of business leaders, government officials, residents, and other representatives from across the greater northern Minnesota region. With funding from the Just Transition Fund and the US Department of Energy, the group launched a process to create a regional economic development action plan.

GPI partnered with Northspan and the Center for Energy and Environment to bring technical expertise, facilitation, and policy knowledge to the table. Together, we helped the task force identify a vision that could guide the region regardless of Boswell’s final timeline:

“A thriving community invested in our future sustainable energy shift.”

The resulting action plan outlines six high-level strategies for diversifying the local economy, each supported by specific steps, timelines, and potential partners. Developed through workshops and town halls, the plan reflects the collective priorities of the people who live and work in Itasca County and the surrounding region.

GPI’s role in supporting community-driven economic planning

GPI’s role in Itasca County reflects our broader approach: building trust, convening diverse stakeholders, and connecting local goals with technical and regulatory expertise. Our Communities and Energy Systems teams worked side by side with local leaders to ensure the process was transparent, inclusive, and informed by the realities of energy markets and utility regulation.

This project also built on GPI’s prior work in Colorado, where we facilitated a similar process in a rural community facing power plant retirements. While no two communities are alike, these experiences inform one another, creating a growing network of insights and strategies that can be adapted across the country.

From plan to action

In February 2025, the community formally launched its plan at a two-day economic development summit in Grand Rapids, Minnesota. The event, Sparking Change, drew local, regional, tribal, and national leaders to discuss housing, workforce, and financing, and to share lessons from other transitioning energy communities.

The plan is more than a road map—it is also a resource for action. By detailing strategies, outcomes, and existing momentum, the plan provides ready-to-use language for grant proposals. This enables local governments and organizations to move faster and more effectively in securing funding.

The City of Cohasset has already aligned its brownfield redevelopment project with the plan’s strategies. In 2025, the city secured a $750,000 Community Energy Transition grant from the Minnesota Department of Employment and Economic Development, and Itasca County is pursuing additional philanthropic support. These early successes show how collective planning builds credibility and strengthens the region’s case for investment.

Looking ahead

Examples like these remind us that energy transition and economic diversification go beyond power plants—they are about people. When local voices are at the center of planning, transitions become opportunities to build stronger, more resilient economies.

GPI is proud to partner with communities navigating these changes, and we remain committed to supporting locally driven solutions across the country.

Sign up for GPI’s Better Energy newsletter to follow our work with communities in energy transition. If you want to learn more about our facilitation process or work with us, please contact our Communities or Energy Systems teams.

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