Colorado Politics

PUC opens comment on performance-based regulation, distribution

On Thursday, the state’s Public Utilities Commission began collecting comment on performance-based regulation for utilities in accordance with legislation passed earlier this year.

Senate Bill 19-236 requires the PUC to identify ways for utilities’ operations to correspond with public benefits, including safety, emissions reduction and reliability.

Greentech Media describes performance-based regulation as a departure from utilities’ traditional model of recovering costs after investing in infrastructure upgrades. There is a correlation between states with robust goals for renewable energy generation and the exploration of performance-based regulations.

The PUC will report its findings to the General Assembly by the end of November 2020. Those who wish to comment may submit statements through the PUC’s online form at www.dora.state.co.us/pacific/puc/puccomments under proceeding number 19M-0661EG.

The same Senate bill also required to the PUC to issue rules related to utilities’ plans for distribution systems. After a series of workshops ending in 2018, the PUC determined that distributed energy – or decentralized generation and storage – is becoming more popular. Thus, grid modernization should take distribution systems into account, and the PUC is seeking more information before it rules on the matter.

Comments are due by Feb. 1, 2020, through the online form www.dora.state.co.us/pacific/puc/puccomments under proceeding number 19M-0670E.

Turbines blow in the wind at an Xcel Energy wind farm on the Colorado-Wyoming border south of Cheyenne. Xcel Energy announced it would supply zero-carbon electricity by 2050 to customers in the eight states in which in operates.
(Associated Press file photo)
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