The Colorado Public Utilities Commission completed deliberations on Aug. 27 for the first phase of the Xcel Energy “Just Transition Solicitation” Electric Resource Plan Phase 1 that is a proposal for how much energy Xcel will need to build or acquire to serve its customers through the next five years.

The commission approved a plan that may result in the acquisition of more than 6,000 MW of new generation, a level that would make it the largest acquisition ever approved by the Public Utilities Commission, according to a PUC media release.

“This level of new generation can be augmented once large energy users (referred to as large load customers) commit to Colorado by signing binding agreements,” according to the release. “The commission also established a significantly more flexible process to acquire additional capacity to timely respond to new loads and support economic growth.”

Xcel Energy filed for commission approval of its 2024 “Just Transition Solicitation” in October of that year.

“The primary objective of the JTS is to balance the provision of adequate energy generation and reliable service with rate affordability and continued progress on emissions reductions,” according to the release.

“Xcel’s proposal is called a Just Transition Solicitation as it also focuses on supporting communities where coal plants are retiring, which includes community assistance payments and incentivizing new energy development to locate in these communities,” added the release.

The commission’s approach is meant to protect existing ratepayers from what parties argued could create up to a 50% increase in average residential rates by 2031 if large customer loads do not materialize but costly new energy generation has already been built to serve them.

After concluding its deliberations on Phase I, commissioners also discussed public comments submitted by local governments, businesses and economic development organizations.

The commissioners expressed an interest in considering a future, separate process that would open a direct line of communication with these organizations to better understand their concerns and experiences, particularly with large load customers, and whether they relate to energy generation or separate service issues.

The “Just Transition Solicitation” is one of the largest cases heard by the commission in recent history, with 24 organizations or parties intervening in the case, according to the release. The commission received hundreds of public comments in writing and during four public comment hearings, including on May 1 in Hayden.

A formal, written decision will be issued in the coming weeks, and parties have 20 days after the final decision issues to file a request for rehearing, re-argument or reconsideration. Once Phase I process is complete, Xcel can move to Phase II, where the energy company will issue requests for proposals for new energy generation projects and file a report in this proceeding to present an evaluation of all proposed resources.

The commission deliberations can be found on the PUC YouTube: Youtube.com/@COPublicUtilitiesCommission/featured.

Xcel Energy’s Just Transition Plan, Proceeding 24A-0442E, is available online at PUC.colorado.gov/key-proceedings.