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Board approves Canyon Peak power‑station special review with conditions; Core Electric enters 25‑year agreement for local peaking capacity

July 22, 2025 | Arapahoe County, Colorado


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Board approves Canyon Peak power‑station special review with conditions; Core Electric enters 25‑year agreement for local peaking capacity
Arapahoe County commissioners on July 22 approved a use‑by‑special‑review for the Canyon Peak Power Station (case UASI25‑001), a natural‑gas combustion turbine project to be built adjacent to Core Electric Cooperative’s Bridal Center substation near County Road 129 and County Road 34. The approval was subject to 11 conditions of approval specified in the staff report.

The proposal: Canyon Peak Power, LLC, will lease roughly 11 acres of a 20‑acre Core Electric Cooperative parcel at 5050 South County Road 129 to construct six GE LM2500 (LM2,500) combustion turbine units for a combined 156 megawatts of peaking capacity. The project includes a 3.9‑mile, 10‑inch diameter natural‑gas lateral to connect to the Colorado Interstate Gas pipeline, an administration/control building, storage tanks (including a 19% aqueous ammonia skid for emissions control), water tanks for fire suppression, and a detention pond. The applicant said two staff will be on‑site per 12‑hour shift; the facility would be fenced.

Regulatory findings and conditions: Planning staff found the project consistent with applicable Land Development Code criteria and the 10‑41 major electric‑facility review regulations, noting referrals from Bennett Watkins Fire Rescue and Colorado Parks and Wildlife. Staff recommended approval with 11 conditions, including: final drainage‑easement dedication, a wildfire mitigation plan approved by the local fire district, Bennett Watkins approval of the firefighting water supply plans, an archaeological inadvertent‑discovery plan and monitoring, seasonal surveys for ground‑nesting birds and pronghorn where construction timing overlaps sensitive seasons, a county agreement to repair county roads damaged by construction, compliance with the county’s lighting standards, and a decommissioning plan with financial assurance to be reviewed every five years.

Air permitting and emissions: The applicant reported that the project received a synthetic‑minor air permit from the Colorado Department of Public Health and Environment (CDPHE) in May 2025 and will use dry‑low‑emissions combustion and SCR/CO catalyst technology to reduce NOx and CO. The applicant said the CDPHE permit allows a 32% capacity factor and that the plant is intended to run during periods of grid need — such as peak summer and winter hours — to support integration of intermittent renewables.

Economic and community impacts: The applicant estimated peak construction employment of roughly 140 workers, an average construction workforce of about 110, and up to 12 full‑time operations jobs; staff cited local sourcing of materials and an estimated annual sales‑tax benefit to the county. Core Electric Cooperative told the board the plant is part of a broader resource plan to integrate more renewable resources while retaining dispatchable backup capacity.

Board action: Commissioner Baker moved to approve the application based on staff findings, subject to the listed conditions; Commissioner Campbell seconded. The motion passed by voice vote.

Clarifying details: Staff added condition 11 requiring submission of lease agreements for three temporary lease areas used during construction. The decommissioning plan must be signed and accompanied by financial assurance (bond or letter of credit), and the parties agreed to a mechanism for five‑year cost updates and reviews. The board did not impose additional traffic or air limitations beyond the conditions recommended by staff.

Speakers and public comment: Planning staff presented the case, and the applicant team and Core Electric officials described the project and its role in grid reliability. No neighborhood opposition was recorded at the hearing; staff noted a neighborhood meeting in November 2024 where two community members attended and asked technical questions. Several commissioners asked technical and environmental questions during the hearing; staff and applicant responded.

The approval authorizes the project to proceed to permitting and construction subject to the stated conditions and permits from state and county agencies.

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