Tag Archives: PUC

Xcel-Denver MOU: Likely to Serve Xcel’s Goals More Than Denver’s Goals

In late February 2018, Xcel and Denver signed a Memorandum of Understanding, or “MOU” that was touted as a way for Denver to work towards its goal of a 100% renewable energy. Clean Energy Action took a close look at the MOU and found that the substance did not match the hype. A summary of that analysis is below and the full analysis is attached.

A key goal of the analysis is to help Denver advocates recognize the limits of the MOU so as to better advocate for a cleaner energy future and for advocates in other communities to begin to better understand what is happening when their City representatives are talking about signing an MOU with Xcel.

Summary of the Analysis of the Xcel-Denver MOU

The Memorandum of Understanding between the City of Denver and Xcel (Public Service Company of Colorado or PSCo) executed in late February 2018 is primarily a document of lofty statement, but is non-binding and contains no commitments from Xcel to reduce the carbon intensity of their electricity and move to a high level of renewable energy. Rather, the MOU could easily serve to distract the City of Denver and its residents from efforts to decarbonize their electricity and even could be used by Xcel to entice the City of Denver into supporting Xcel’s proposals at the Colorado Public Utilities Commission that are very likely not what most Denver residents and businesses would support if they understood them.

Find the full analysis here.

Xcel-Denver MOU: Likely to Serve Xcel’s Goals More Than Denver’s Goals

In late February 2018, Xcel and Denver signed a Memorandum of Understanding, or “MOU” that was touted as a way for Denver to work towards its goal of a 100% renewable energy. Clean Energy Action took a close look at the MOU and found that the substance did not match the hype. A summary of that analysis is below and the full analysis is attached.

A key goal of the analysis is to help Denver advocates recognize the limits of the MOU so as to better advocate for a cleaner energy future and for advocates in other communities to begin to better understand what is happening when their City representatives are talking about signing an MOU with Xcel.

Summary of the Analysis of the Xcel-Denver MOU

The Memorandum of Understanding between the City of Denver and Xcel (Public Service Company of Colorado or PSCo) executed in late February 2018 is primarily a document of lofty statement, but is non-binding and contains no commitments from Xcel to reduce the carbon intensity of their electricity and move to a high level of renewable energy. Rather, the MOU could easily serve to distract the City of Denver and its residents from efforts to decarbonize their electricity and even could be used by Xcel to entice the City of Denver into supporting Xcel’s proposals at the Colorado Public Utilities Commission that are very likely not what most Denver residents and businesses would support if they understood them.

Find the full analysis here.

HELP US STAND UP FOR COLORADO RATEPAYERS!

​Dear Renewable Energy Advocates–We have an AMAZING opportunity to move clean energy forward in Colorado–but we need your help to “get it right.” ​​Please come to a training below and then to the PUC hearing on Feb 1, 2018. (Docket 16A-0396E “Stipulation” hearing) 

Here are the key dates so far: ​​

Monday January 22, 2018–6 pm,  ​Boulder ​Training

Meadows Public Library,
Boulder​, Colorado​
 (4800 Baseline, behind the Safeway)
Thursday January 25, 2018–6 pm, Denver Training
​Epic Brewing​
3001 Walnut St. Denver, CO 80205 Phone: 720-539-7410 ​
Monday January 29, 2018–​6 pm Lakewood/Jeffco Training
Belmar Library
555 S. Allison Parkway, Lakewood, Colorado
THEN ​HOPING EVERYONE WILL COME….​
Thursday Feb 1, 2018–4​-7​ pm
PUC Public Hearing 16A-0396E

Coal plant retirements, payment plans & replacement options1560 Broadway, #250,Denver 

The February 1, 2018 PUC hearing ​is a critical 
opportunity for the public to help shape the PUC’s response to the need to retire Xcel’s coal plants long before their expected retirement dates. 
This hearing will be about moving the retirement of ​the ​Comanche 1 and 2 ​coal plants in Pueblo ​up about 10 years ​into the ​
2020s. This is, of course, a step in the right direction, but we need your help to make the PUC understand the following:
  • ​Move Faster on Coal Retirements: ​ We are in a crisis on climate change. We can and must move faster by retiring these coal plants ​even ​earlier and working to retire ​the rest of Xcel’s coal fleet much ​sooner also.
  • ​Don’t Rush to Build More Natural Gas: ​Replacing coal plants with wind, solar, storage and demand side options makes good economic and environmental sense. This is not true for building new natural gas capacity which will likely just become stranded in its own time.
  • ​Don’t Make Xcel’s Customers Pay for All of Xcel’s Poorly Considered Expenditures on Coal: Xcel has poured hundreds of millions of dollars into their old coal plants in ​Colorado in this century–including into Comanche 1 and 2. Now Xcel wants us to pay for all of this–and pay them their return​ (think “profit,” at their​ Weighted Average Cost of Capital or WACC) on the ill-considered ​coal plant ​expenditures they have made in recent years. This isn’t a just or equitable solution for ratepayers. If we are to set a ​fair and equitable ​precedent for how we dig ourselves out of the very deep ​hole ​we’ve dug on coal in Colorado, it will be up to the ​informed ​citizens who testify on February 1, 2018 at the PUC to get it done!
 
​Just come to a training and we’ll walk you through 
​the key parts and make sure your statement is on-point and powerful! ​In case you haven’t noticed, climate change impacts are already getting really serious. Please help us move Xcel further, faster on the clean energy path–and when we move Xcel, we move all of Colorado utilities and the entire US utility industry. 
But….We can’t do it without YOU!

CEA Leads Coloradans in Challenging XCEL

The effort to decarbonize Colorado’s largest electricity supplier, Xcel Energy, advanced in Denver last month as Coloradans lined up to speak at the Colorado Public Utilities Commission hearing on Xcel’s 2016 Electric Resource Plan. Members of CEA led Coloradans from all walks of life in voicing their concerns about Colorado’s electricity future.

The hearing room at the Public Utilities Commission was overflowing as the people of Colorado addressed the three PUC Commissioners. They expressed a host of concerns about Xcel’s plan,  and asked for more focus on the abundance of cost-effective renewable energy available in Colorado, in accordance with Colorado’s laws and regulations.

The PUC is a part of the Colorado Department of Regulatory Agencies, and is responsible for regulating many parts of our state’s utilities, transportation, and telecommunications.

 

Issues raised during the public testimony included the need to:

  • Consider climate change and the urgency of reducing carbon emissions
  • Increase the reliance on renewable energy in order to reduce both emissions and costs
  • Accelerate the adoption of storage technologies to support the integration of higher levels of renewable energy
  • Begin contingency planning in the event of future coal bankruptcies and potential coal supply constraints
  • Allow new, cleaner resources to replace energy generation from older, dirtier, more expensive fossil fuel resources

Citizen witnesses also discussed the need to analyze the choices between renewable energy (with no future fuel costs) and fossil fuel resources (with billions of dollars of future fuel costs) using lower discount rates. A lower discount rate will show increased savings from cost-effective renewable energy because future fuel costs won’t be so heavily discounted.

Discounting the approximately $60 billion in future fuel costs associated with Xcel’s Electric Resource Plan at Xcel’s Weighted Average Cost of Capital (“WACC”) will have the effect of shrinking these future fuel costs and also shrinking the savings that will come from cost-effective renewable energy resources like wind and solar that don’t have future fuel costs.

More details on Xcel’s Electric Resource Plan and the key issues, including the importance of the choice of discount rate, are available in the public comment filing made by Clean Energy Action Board member Leslie Glustrom.

CEA is grateful that the new appointees to the Colorado PUC , Chairperson Jeff Ackerman and Commissioner Wendy Moser, along with Commissioner Frances Koncilja, are dedicated to hearing from the public and that the public is well enough informed to provide useful and compelling testimony!

You can also check out Christi Turner’s comprehensive article in Boulder Weekly and learn more about this important step froward in the fight for cheaper, cleaner power.

Public Hearing for Performance-Based Ratemaking

Tell the House Committee that Utilities Should be Rewarded (or Penalized) Based on their Carbon Emissions
March, 25th, 1:30 pm
Colorado State Capitol, Room 0112
200 E. Colfax Ave, Denver

The Colorado House Transportation and Energy Committee will decide whether to move forward with HB 15-1250, which seeks to initiate an investigation into performance-based ratemaking. Tell the legislature that performance-based ratemaking should reward the utilities for reducing their carbon emissions.

Currently, most utilities’ profits are determined by how much capital they deploy, plus their allowed rate of return on that capital. In other words, the more they spend on their infrastructure, the more they are able to make. The idea behind performance-based ratemaking is to regulate the utilities’ profits according to how well they meet goals that we set for them. The goals or metrics can range from increasing reliability of the grid to reducing costs to increasing energy efficiency to reducing carbon emissions.

Once the metrics are determined, the utility either gets rewarded or penalized based on how well they adhere to the goals, as opposed to how much capital they deploy. The tricky part is making sure the goals explicitly include things that are important to us, like reducing their carbon emissions.

Colorado State Representative Max Tyler has introduced a bill that would require the PUC to investigate performance-based ratemaking based on a variety of metrics, including reducing carbon emissions.  We are happy to see that reducing carbon emissions is included in the list of metrics. It is crucial that minimizing carbon emissions remains a top priority.

If this bill passes, it will be the beginning of a process that can integrate metrics beyond short-term costs into the ratemaking process, including climate.

Tell the committee that regardless of whether or not they go forward with this bill, we need to integrate climate and public heath impacts into our electricity planning.

If you can’t make it to the hearing, please email the committee members:

max@maxtyler.us, diane.mitschbush.house@state.co.us, perrybuck49@gmail.com, jon.becker.house@state.co.us, terri.carver.house@state.co.us, don.coram.house@state.co.us, daneya.esgar.house@state.co.us, reptracy29@gmail.com, jovan.melton.house@state.co.us, dominick.moreno.house@state.co.us, patrick.neville.house@state.co.us, dan.nordberg.house@state.co.us, faith.winter.house@state.co.us

Want to learn more about performance-based ratemaking?