A bill headed to the desk of Colorado Gov. Jared Polis aims to jump-start the state’s electrification goals by focusing on overlooked infrastructure, the latest move to help the U.S. grid prepare for rising power demand.
The legislation would force Xcel Energy, the largest electric utility in Colorado, to make upgrades to the distribution system — the set of wires and transformers that brings power to homes and businesses and increasingly takes in power from rooftop solar panels and home batteries.
That system is being taxed as the state works to meet goals to deploy more low-carbon energy sources, electrify vehicles, and transition homes and businesses away from fossil fuel energy.
Without new transformers, substations or wires, some homeowners have been prevented from installing solar panels and energy storage batteries. Mike Kruger, president of the Colorado Solar and Storage Association, said some housing developers have even been asked to pay for the distribution system upgrades themselves, a steep cost that can halt projects tied to clean energy in some neighborhoods.
