The company filed its application with the Public Regulation Commission this week.
The utility has invested more than $1.6 billion in the regional power grid since the latter part of 2017. Xcel officials say the investments are helping sustain a booming economy in eastern New Mexico.
If approved, residential customer bills would increase by about $7.80 starting in mid-2020.
Xcel says natural gas will continue to be part of its portfolio as fuel costs have hit historic lows.
Wind turbines make up about 20% of the supply. The utility says the Sagamore Wind Project near Portales is expected to be completed next year.