Colorado Commission reviews Public Service's $730M renewable energy plan and billing proposal

In a pivotal meeting on July 2, 2025, the Colorado Public Utilities Commission (PUC) took significant steps regarding the state's renewable energy initiatives and time-of-use (TOU) rate schedules. The commission is poised to address a joint application for rehearing concerning the recently established TOU rates, which has sparked debate among stakeholders.

The joint application, filed by Public Service Company of Colorado, the utility consumer advocate, and Energy Outreach Colorado, seeks to modify the on-peak to off-peak ratios for the winter season. This request comes after the commission's decision on June 3, which set new TOU rate schedules. The commission's staff has recommended a shortened response time to this application, suggesting a deadline of July 7, 2025, to expedite the process and ensure clarity.

In addition to the TOU discussions, the commission reviewed Public Service's application for a new renewable energy plan covering 2026 and 2027. This ambitious plan aims to promote distributed renewable energy resources totaling over 230 megawatts, alongside 100 megawatts of dispatchable distributed generation. A key feature of the plan is the introduction of Inclusive Community Solar, which reserves at least 51% of community solar garden capacity for income-qualified subscribers.

The estimated cost of this renewable energy initiative is approximately $730 million, primarily funded by ratepayers. Public Service is also seeking to increase the renewable energy standard adjustment collections from 1% to 2% to support these efforts.

As the commission prepares to set a hearing date for these matters, the urgency of the discussions reflects Colorado's commitment to advancing its renewable energy goals while addressing the complexities of utility rate structures. The outcomes of these proceedings could significantly impact both consumers and the state's energy landscape in the coming years.