Rocky Mountain Compromise: Inside Xcel's Landmark Colorado Solar Settlement

Xcel Energy and 26 solar and consumer interest groups recently struck a compromise on a large-scale utility solar program and the regular review of Colorado's renewable energy plan.

Despite Colorado’s strong solar energy potential and a growing market, the state has so far avoided the most contentious aspects of utility-solar debates. Last week, Xcel Energy and 26 solar and consumer interest groups struck a far-reaching compromise on a rate case, a controversial large-scale utility solar program and the regular review of the state’s renewable energy plan.

“It was a monumental achievement to settle this many issues of this importance to the future of Colorado energy at once,” Colorado Solar Energy Industries Association (COSEIA) Executive Director Rebecca Cantwell told Utility Dive.

The final settlement, announced Aug. 15, included three key provisions.

First, it replaced Xcel’s initial request for a fixed “grid use charge.” Instead, there will be a voluntary time-of-use (TOU) rate trial for residential customers and a voluntary time differentiated rate (TDR) demand charge pilot program for residential and commercial customers.

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