Tri-State CEO says wholesaler’s clean energy transition will pay dividends — Energy News Network

The coal-fired Tri-State Generation and Transmission plant in Craig provides much of the power used in Western Colorado, including in Aspen and Pitkin County. Will Toor, executive director of the Colorado Energy Office has a plan to move the state’s electric grid to 100 percent renewable energy by 2040. Photo credit: Brent Gardner-Smith/Aspen Journalism

From The Energy News Network (Allen Best):

The Colorado generation and transmission co-op announced a major renewable expansion it thinks can save money.

Duane Highley arrived in Colorado last year with a mission: Transform one of the nation’s heaviest coal-based wholesale electricity providers to something different, cleaner and greener.

As the new chief executive of Tri-State Generation and Transmission, Highley began meeting with legislators and other state officials, whose general reaction was of skepticism and disbelief, he recalled.

“‘Just watch us,’” he says he answered. “We will deliver.”

Last week, Highley and Tri-State took a step toward that goal by announcing plans for a major expansion of renewable generation. The power wholesaler will will achieve 50% renewable generation by 2024 for its Colorado members, up from 32% in 2018. Unlike its existing renewables, much of which comes from federal dams, Tri-State plans six new solar farms and two more wind farms.

With continued retirement of coal plants, Tri-State expects to achieve 70% carbon-free electricity for its Colorado customers by 2030. Those customers represent two-thirds of the wholesaler’s demand across four states.

“The prices of renewables have fallen dramatically in the last 10 years,” Highley said in an interview with the Energy News Network. Solar and wind have dropped “significantly below the operating costs of any other project. It gives us the headroom to make these changes,” he said, adding that he expects downward pressure on rates for member cooperatives.

The politics and the economics of clean energy have aligned. “It helps us accelerate the ride off coal,” Highley said. The temptation, he added, was not to wait, but rather to announce the shift sooner, before details had been lined up.

Western Resource Advocates: Tri-State’s Responsible Energy Plan Signals Important Step Forward in Reducing Carbon Emissions #ActOnClimate #KeepItInTheGround

Kit Carson Electric announces solar and storage that will put the cooperative at 100% renewables during sunny days by 2021. The New Mexico cooperative will soon go to work on securing wind power. Photo credit: Allen Best/The Mountain Town News

Here’s the release from Western Resource Advocates (Julianne Basinger):

Western Resource Advocates today welcomed Tri-State Generation and Transmission Association’s announcement that it plans to add more than 1,000 megawatts of renewable wind and solar resources to its energy generation.

Tri-State announced more details of its Responsible Energy Plan today at a news conference featuring Colorado Gov. Jared Polis.

“Tri-State’s plan signals a welcome and important shift toward a clean, lower-cost energy future,” said John Nielsen, director of Western Resource Advocates’ Clean Energy Program. “Tri-State’s coal plant retirements and increased investments in renewable energy will save its customers money and will significantly reduce carbon dioxide emissions that drive climate change and other harmful air pollution. We look forward to continuing to work with Tri-State to develop ways to achieve further carbon reductions and increased energy efficiency, while also seeking ways to help coal-reliant communities transition to new economic opportunities.”

Tri-State’s Responsible Energy Plan sets a target of 50 percent renewable energy generation by 2024 that will be achieved, in part, through the development of the more than 1,000 megawatts of new wind and solar generation announced today. The renewable energy plan comes after Tri-State last week announced it will close two coal-fired power plants in Colorado and New Mexico.

Tri-State announced its board has created a contract committee to discuss changes to its existing member contracts that would allow distribution cooperative members to self-supply more of their own electricity through locally sited renewable generation. The results of that discussion are expected to be announced in April. Tri-State also said it will increase electric vehicle infrastructure in the rural areas it serves.

New poll shows leading role of #climate policy in #Colorado primary — @ConservationCO #ActOnClimate #VoteEnvironment #KeepItInTheGround

Comasche Solar Farm near Pueblo April 6, 2016. Photo credit: Reuters via The Climate Reality Project

From Conservation Colorado (Garrett Garner-Wells):

New polling released today highlighted climate change as the top issue in Colorado’s upcoming presidential primary, 10 points higher than health care and 15 points higher than preventing gun violence.

The survey of likely Democratic presidential primary voters conducted by Global Strategies Group found that nearly all likely primary voters think climate change is already impacting or will impact their families (91%), view climate change as a very serious problem or a crisis (84%), and want to see their leaders take action within the next year (85%). And by a nearly three-to-one margin, likely primary voters prefer a candidate with a plan to take action on climate change starting on Day One of their term over a candidate who has not pledged to act starting on Day One (74% – 26%).

Additionally, the survey found that among likely primary voters:

  • 85% would be more likely to support a candidate who will move the U.S. to a 100 percent clean energy economy;
  • 95% would be more likely to support a candidate who will combat climate change by protecting and restoring forests; and,
  • 76% would be more likely to support a candidate who will phase out extraction of oil, gas, and goal on public lands by 2030.
  • These responses are unsurprising given that respondents believed that a plan to move the U.S. to a 100 percent clean energy economy will have a positive impact on future generations of their family (81%), the quality of the air we breathe (93%), and the health of families like theirs (88%).

    Finally, likely primary voters heard a description of Colorado’s climate action plan to reduce pollution and the state’s next steps to achieve reductions of at least 50 percent by 2030 and at least 90 percent by 2050. Based on that statement, 91% of respondents agreed that the Air Quality Control Commission should take timely action to create rules that guarantee that the state will meet its carbon reduction targets.

    Full survey results can be found here.

    Tri-State Generation & Transmission Association announces transformative Responsible Energy Plan actions to advance cooperative clean energy

    Photovoltaic Solar Array

    Here’s the release from Tri-State Corp (Lee Boughey, Mark Stutz):

  • Increasing renewables to 50% of energy consumed by members by 2024, adding 1 gigawatt of renewables from eight new solar and wind projects.
  • Reducing emissions with the closure of all coal plants operated by Tri-State, cancelling the Holcomb project in Kansas and committing not to develop additional coal facilities.
  • Increasing member flexibility to develop more local, self-supplied renewable energy.
  • Extending benefits of a clean grid across the economy through expanded electric vehicle infrastructure and beneficial electrification.
  • In the most transformative change in its 67-year history, Tri-State Generation and Transmission Association today announced actions of its Responsible Energy Plan, which dramatically and rapidly advance the wholesale power supply cooperative’s clean energy portfolio and programs to serve its member electric cooperatives and public power districts.

    “Our cooperative and its members are aligned in our transition to clean power,” said Rick Gordon, chairman of Tri-State and director at Mountain View Electric Association in eastern Colorado. “With today’s announcement, we’re poised to become a new Tri-State; a Tri-State that will provide reliable, affordable and responsible power to our members and communities for many years to come.”

    Tri-State’s clean energy transition significantly expands renewable energy generation, meaningfully reduces greenhouse gas emissions, extends the benefits of a clean grid to cooperative members, and will share more flexibility for self-generation with members, all while ensuring reliable, affordable and responsible electricity.

    “We’re not just changing direction, we’re emerging as the leader of the energy transition,” said Duane Highley, Tri-State’s chief executive officer. “Membership in Tri-State will provide the best option for cooperatives seeking a clean, flexible and competitively-priced power supply, while still receiving the benefits of being a part of a financially strong, not-for-profit, full-service cooperative.”

    Accelerated additions of renewable projects drive 50% renewable energy by 2024

    Tri-State today announced six new renewable energy projects in Colorado and New Mexico, which along with two projects previously announced and yet to be constructed, will result in more than 1 gigawatt of additional emissions-free renewable resources being added to Tri-State’s power supply portfolio by 2024.

    For the first time, four solar projects will be located on the west side of Tri-State’s system, including near Escalante Station and Colowyo Mine, which are scheduled to close by the end of 2020 and by 2030, respectively.

    The eight long-term renewable energy projects of varying contract lengths to be added to Tri-State’s resource portfolio by 2024 include:

    • Escalante Solar, a 200-megawatt (MW) project located in Continental Divide Electric Cooperative’s service territory in New Mexico. Tri-State has a contract with Turning Point Energy for the project. The solar project is on land near Escalante Station, which will close by the end of 2020.

    • Axial Basin Solar, a 145-MW project in northwest Colorado in White River Electric Association’s service territory. Tri-State has a contract with juwi for the project. The project is located on land near the Colowyo Mine, which will close by 2030.

    • Niyol Wind, a 200-MW project located in eastern Colorado in Highline Electric Association’s service territory. Tri-State has a contract with NextEra Energy Resources for the project.

    • Spanish Peaks Solar, a 100-MW project, and Spanish Peaks II Solar, a 40-MW project, located in southern Colorado in San Isabel Electric Association’s service territory. Tri-State has contracts with juwi for both solar projects.

    • Coyote Gulch Solar, a 120-MW project located in southwest Colorado in La Plata Electric Association’s service territory. Tri-State has a contract with juwi for the project.

    • Dolores Canyon Solar, a 110-MW project located in southwest Colorado in Empire Electric Association’s service territory. Tri-State has a contract with juwi for the project.

    • Crossing Trails Wind, a 104-MW project located in eastern Colorado in K.C. Electric Association’s service territory. Tri-State has a contract with EDP Renewables for the project.

    The construction and operation of these projects will result in hundreds of temporary construction jobs and contribute to permanent jobs and tax base within Tri-State members’ service territories.

    “By 2024, 50% of the energy consumed within our cooperative family will be renewable,” said Highley. “Accelerating our renewable procurements as technology improved and prices dropped results in the lowest possible renewable energy cost today for our members, and likely of any regional utility.”

    Since 2009, Tri-State has contracted for 15 utility-scale wind and solar projects, as well as numerous small hydropower projects. By 2024, Tri-State will have more than 2,000 megawatts of renewable capacity on its 3,000-megawatt peak system, including:

  • 800 megawatts of solar power from 9 projects (3 existing, 6 to be constructed by 2024)
  • 671 megawatts of wind power from 6 projects (4 existing, 2 to be constructed by 2022)
  • 600 megawatts of large and small hydropower (Including federal and numerous small projects)
  • Collectively, Tri-State’s renewable portfolio can power the equivalent of nearly 850,000 average homes.

    Greenhouse gas emissions significantly reduced to meet Colorado, New Mexico goals

    Tri-State is significantly decreasing greenhouse gas emissions to meet state laws and goals, and with the closures of all coal facilities it operates, will eliminate 100% of its greenhouse gas emissions from coal in New Mexico by the end of 2020 and in Colorado by 2030. The early closures of Escalante Station, Craig Station and Colowyo Mine were announced last Thursday, following the early retirement of Nucla Station in 2019.

    By closing Craig Station, Tri-State is committed to reducing carbon emissions from units it owns or operates in Colorado by 90% by 2030, and reducing emissions from Colorado electric sales by 70% by 2030.

    Tri-State also is committing to not develop additional coal facilities, and has cancelled its Holcomb coal project in southwestern Kansas. The air permit for the project will expire in March 2020.

    “With the retirements of all coal facilities we operate, a commitment to not pursue coal in the future, and a significant increase in renewables, Tri-State is making a long-term and meaningful commitment to permanently reduce our greenhouse gas emissions,” said Highley.

    Plan extends benefits of a clean grid and electric vehicles to rural areas

    As Tri-State rapidly transitions to a clean grid, it is working with its members to extend the benefits of low-emissions electricity to replace higher-emission transportation, commercial and residential energy uses.

    “By extending the benefits of a cleaner power supply to vehicles, homes, farms and businesses, we ensure that rural energy consumers save money while further reducing greenhouse gas emissions,” said Highley.

    To expand rural electric vehicle charging networks, Tri-State will fund electric vehicle charging stations for each member, and will work with members to further promote electric vehicle usage. Tri-State will promote and increase its beneficial electrification, energy efficiency and demand-side management programs with its members, including support through the new Beneficial Electrification League of Colorado and other state chapters, and will study potential emissions reductions associated with beneficial electrification.

    Increasing member flexibility for developing local renewable energy resources

    As a cooperative, Tri-State’s members are working together to increase local renewable energy development and member self-supply of power. In November 2019, Tri-State expanded opportunities for member community solar projects up to 63 megawatts system-wide, and is finalizing recommendations for partial requirements contracts.

    “Our membership has moved quickly over the past six months to advance recommendations for flexible partial requirements contracts, which will be considered by our board by April 2020 and which Tri-State will implement upon the board’s approval,” said Gordon.

    Partial requirements contracts provide flexible options for members that desire to self-supply power, while ensuring other members are not financially harmed. A Contract Committee of the Tri-State membership is currently reviewing partial requirements contract options.

    Center for the New Energy Economy advisory process informs plan

    To develop the Responsible Energy Plan, Tri-State collaborated with a diverse advisory group, facilitated by Colorado State University’s Center for the New Energy Economy (CNEE) and former Colorado Governor Bill Ritter. This group included representatives from the states Tri-State serves including academic, agricultural, cooperative, environmental, rural and state government interests.

    “These advisors rolled up their sleeves to work with us on the details that make our energy transition vision a reality,” said Highley. “We are grateful to Governor Ritter and the CNEE advisory group for their good-faith contributions and efforts to find common ground in the pursuit of ambitious but actionable commitments, and challenging but attainable goals.”

    Tri-State maintains financial strength and stable rates through transition

    Tri-State’s strong financial position and cooperative business model helps ensure wholesale rates remain stable, if not lower, during its transition.

    “We are favorably positioned to successfully transition to clean resources at the lowest possible cost,” said Highley. “The low costs of renewable energy and operating cost reductions help to counterbalance the cost to retire coal generation early, keeping our wholesale rates stable with even cleaner electricity.”

    About Tri-State

    Tri-State is a not-for-profit cooperative of 46 members, including 43 electric distribution cooperatives and public power districts in four states that together deliver reliable, affordable and responsible power to more than a million electricity consumers across nearly 200,000 square miles of the West. For more information about Tri-State and our Responsible Energy Plan, visit http://www.tristate.coop.

    Wind Power Technicians via https://windpowernejikata.blogspot.com/2017/07/wind-power-technician.html

    Tri-State plans 50% #renewableenergy by 2024 as member co-ops press for exit — The Loveland Reporter Herald #ActOnClimate #KeepItInTheGround

    The South Taylor pit is one of Colowyo Mine’s current active coal mining site. Photo by David Tan via CoalZoom.com

    From The Loveland Reporter-Herald (Dan Mika):

    Tri-State Generation and Transmission Association Inc. said by 2024 it will draw from renewable sources at least half of the energy it sends to member power cooperatives.

    In a news conference also attended by Gov. Jared Polis on Wednesday, the Westminster-based power generator said it would build two wind farms and four solar farms in Colorado and New Mexico to generate an additional gigawatt of energy for its 43 member co-ops in Colorado, Nebraska, Wyoming and New Mexico.

    Tri-State CEO Duane Highley said the plan puts the company at the forefront of the shift away from fossil fuels.

    “Membership in Tri-State will provide the best option for cooperatives seeking a clean, flexible and competitively-priced power supply, while still receiving the benefits of being a part of a financially strong, not-for-profit, full-service cooperative,” he said at the news conference.

    The partial shift away from non-renewable sources of power comes amid ongoing disputes among Tri-State, Brighton’s United Power Inc. and La Plata Energy Association Inc. at the Colorado Public Utilities Commission. The two co-ops filed suit in November, claiming Tri-State is refusing to give them permission to explore deals with other power suppliers and effectively holding them hostage while it tries to become a federally regulated entity…

    Tri-State has maintained it cannot release United and La Plata while other co-op customers revise the rules for terminating contracts…

    In a statement, La Plata said it supports Tri-State’s push toward renewable energy, but said the power provider’s rules are preventing it from creating its own series of renewable energy sources to meet its local carbon reduction targets.

    “While Tri-State’s future goal will help meet our carbon reduction goal, we do not yet know what the costs of its plan will be to our members and what LPEA’s role will be for producing local, renewable energy into the future,” said La Plata Energy Association CEO Jessica Matlock.

    Member co-ops are required to buy 95% of their power from Tri-State.

    Curtain descends on Tri-State plants — The Mountain Town News #ActOnClimate #KeepItInTheGround #JustTransition

    Craig Station is the No. 2 source of greenhouse gas emissions in Colorado, behind Comanche station at Pueblo. Photo/Allen Best

    From The Mountain Town News (Allen Best):

    Why Tri-State will shelve coal in Colorado and New Mexico and the big challenges that remain: Will Tri-State ‘family’ stay intact?

    Tri-State Generation and Transmission announced [January 9, 2020] that it will close its Escalante Station coal-burning units in New Mexico in 2020 and all of its coal-burning units at the Craig Station in Colorado by 2030. One and probably two coal mines near the Craig units will be closed.

    Sharply widened price disparities between aging coal plants and new renewable resources play a prominent role in the closures. So do the growing pressures of member cooperatives to decarbonize and take advantage of lower-cost and more distributed renewable resources. Yet another factor was the pressure exerted by advocacy groups, including the Sierra Club, with its extensive grassroots-organizing efforts.

    New laws setting decarbonization goals in both Colorado and New Mexico figure into the closures. Legislatures in both states adopted laws last year calling for economy wide decarbonization, in Colorado’s case a 50% reduction in greenhouse gas emissions by 2030 and 95% by 2050. New Mexico’s law requires 80% electrical generation be renewable by 2040 and 100% carbon free by 2045.

    Colorado Gov. Jared Polis, in his State-of-the-State address Thursday morning, said Tri-State’s plans within Colorado will reduce the utility’s greenhouse gas emissions 90% by 2030.

    Tri-State resource mix via The Mountain Town News/Allen Best.

    As of 2018, renewables—including hydropower—constituted 32% of Tri-States sales to members, while coal represented at least 47% and possibly more, depending upon the source of electricity purchased from other sources. Tri-State expects to be at 50% by 2024 and higher yet by 2030, said Duane Highley, the chief executive of Tri-State, at a Thursday tele-press conference.

    The closures were not particularly surprising. Highley, who took the reins at Tri-State last April, told Colorado Public Utilities Commissioners in October to “watch our feet” while promising decarbonization by 2030.

    But major questions remain for Tri-State, including perceptions of its long-term financial viability. S&P Global Ratings in November lowered ratings for Tri-State and for Moffat County, where Craig Station is located, from A to A-. Reading the news, some were reminded of another Colorado wholesale supplier, Colorado Ute. Overbuilt in coal generation, it went into a death spiral and then bankruptcy in 1991. Tri-State got the Craig units from that bankruptcy

    Most prominent of Tri-State’s challenges will be to hang onto its existing members in what in the past has been described as a family. The family has been squabbling, particularly among Colorado’s 18 member cooperatives. One will soon leave, two more are negotiating to leave, and a fourth has informally asked for a buy-out number. Together, they represent 33% of Tri-State’s electrical demand.

    Next Wednesday, Tri-State will announce details of what it calls its aggressive and transformative Responsible Energy Plan. The plan results from a process convened in July 2019 and overseen by former Colorado Gov. Bill Ritter’s Center for the New Energy Economy. The task force included multiple environmental groups as well as Tri-State.

    The extent and location of new local resources in Tri-State’s generating portfolio may not be answered immediately, says Erin Overturf, deputy director Western Resource Advocates’ clean energy program. The group was among those who participated in development of the Responsible Energy Plan.

    Some of those not at the table remain unhappy that they were not.

    “From our perspective, we want Tri-State to clean up their carbon footprint, but we would like to be part of this,” said Jessica Matlock, the chief executive of Durango-based La Plata Electric, one of two co-ops that have formally asked the price of breaking their current all-requirements contracts. “We haven’t been involved in any of the discussions, the formulation of strategies. We would actually like to develop a large amount of renewable energy in the Four Corners and supply that to Tri-State. We don’t think they should just develop large-scale resources on the Eastern Slope. They should diversify their resources and look to the co-ops to be partners.”

    While the Four Corners has what Matlock describes as “phenomenal” solar potential, land in the United Power service territory north and east of Denver has become too valuable for 200-megawatts solar farms, says John Parker, chief executive of the 93,000-member cooperative. He’s more interested in seeing whether Tri-State can execute its energy pivot without raising rates.

    Rates of Tri-State going forward matter entirely to United, says Parker, whose co-operative now is responsible for 19% of Tri-State’s total electrical demand. He said United charges 20% more for residential electricity than does Xcel Energy, a neighboring and sometimes competing utility. United has somewhat higher costs for distribution of electricity to customers owing to the more rural nature of its service territory But Tri-State’s wholesale cost to United provides the larger explanation. “Tri-State is 75% of our cost of doing business,” says Parker.

    But will new transmission be needed to access new renewable supplies, as Tri-State representatives have indicated previously? If so, that could cause rates to rise further, Parker fears.

    “I think the biggest question that we have as far as this announcement is how are they going to pay for it,” says Kathleen Staks, director of external affairs for Guzman Energy.

    Highley, in the teleconference, repeatedly said that rates will remain stable and might even decline even as Tri-State accelerates deprecation on its plants in the two states. Asked specifically if his guarantees of stable rates also applies to the cost of new generation, he replied that yes, it does. The costs of renewable generation are just that good.

    Guzman Energy financed the exit of Kit Carson Electric Cooperative in 2016 from its all-requirements contract, which had been set to expire in 2040. It was the first Tri-State member to leave, a dispute that began in 2005 when Tri-State first asked members for contract extensions in order to build another coal plant, this one in Kansas. Guzman has since helped the cooperative based in Taos N.M., to build its solar potential. Luis Reyes, Kit Carson’s chief executive, says that Kit Carson will to be able to meet its peak day-time demand from locally generated solar resources by 2021. Kit Carson, says Matlock, provides La Plata the blueprint for what it hopes to achieve.

    In closing the plants early, Tri-State will accelerate their financial depreciation. Value of the two generating stations at Craig at $400 million. Their original end-of-life dates were 2038 and 2044. The depreciation of those units is being accelerated to 2030. Highley suggested that retirement of one of those units, Craig Unit 2, which is co-owned with four other utility partners, could happen earlier.

    Tri-State owns the 253-megawatt Escalante Generating Station without partners and values it at $270 million. Its original end of life had been put at 2045.

    Still standing will be the two major generating stations in which it has a minority interest. It has 464 megawatts of the total 1,710 megawatts of capacity at Laramie River Station near Wheatland, Wyo., and 419 megawatts of the 1,629 megawatts at Springerville, in eastern Arizona. As for the future of those plants, said Highley, look at what happens legislatively in Arizona and Wyoming.

    Evidence had been mounting that Tri-State, despite several relatively small additions of renewable, was being bypassed by the energy transition. The first evidence came in late 2017, after Xcel Energy had announced plans to retire Comanche 1 and 2, two aging coal-burning units at Pueblo, Colo. The bids it had received by that December for wind, solar and even storage shocked most energy analysts, drawing national attention. Conveniently, most of that new generation approved by the Colorado PUC will be located relatively close to existing transmission.

    Then, in August 2018, the Rocky Mountain Institute released a report, “A Low-Cost Energy Future for Western Cooperatives,” which examined the Tri-State fleet in terms of risks, including a carbon price and load defection. That analysis concluded only the Laramie River Station in Wyoming made sense economically going forward. Key to the lower-cost of the Wyoming plant is the relative proximity to the Powder River Basin, lowering transportation costs, and a low-price contract continuing into the 2030s.

    Since that 2018 study, says Mark Dyson, a co-author, prices of renewables have continued to dive. He cites one example of a project approved late last year that will deliver solar plus storage at a price of around $25 a megawatt. In some cases, he said, that’s lower the cost of coal itself delivered to a plant. And solar itself now is commonly in the lower $20s per megawatt-hour, a price unheard of even two years ago.

    Tri-State in 2019 rebuffed an offer from Guzman to buy three Tri-State units (two at Craig, one at Escalante) and shut them down, replacing the 800 megawatts of lost generating capacity with wind, solar and natural gas generation.

    Tri-State plans to close the Escalante Generating Station in 2020. Photo/Allen Best

    “We would finance the early shutdown of these coal plants, giving Tri-State a substantial cash infusion, in the vicinity of a half-billion dollars, and we would replace the portfolio (that would be lost) with in excess of 70% renewables,” said Chris Riley, president of Guzman Energy, in an interview for Energy News Network. The offer included purchase of the Colowyo Mine.

    Guzman said it would also cover the costs of dismantling the three units as well as remediation costs, which are expected to be substantial. The remediation, however, would be subject to negotiation, Riley said. In addition, Guzman offers to assist communities that would be affected by early retirement of the coal units. At least part of Guzman’s sources of funding were foundations.

    In its announcement, Tri-State pledged $5 million in local community support in New Mexico to the affected communities, including Grants and Gallup.

    It made no similar offer for the Craig community. And, some observers have noted, Tri-State has made little outreach to the affected communities under Highley. However, he said he planned to meet with community members next week. The Craig Daly Press reports that the news hit the Yampa Valley hard.

    Highley also promised to continue work Gov. Jared Polis and legislative leaders in terms of the transition but did not say exactly what Tri-State is seeking with legislators. Colorado legislators last session created a Just Transition office, but the agency still lacks an executive director and also funding. Meetings of the advisory committee, which consists of state officials and legislators and local representatives, were held in October and December.

    Ultimately 600 Tri-State employees directly involved in the extraction or burning of coal will be directly impacted along with 100 employees who are not directly involved in mining or combustion. It will, said Highley, “result in a significant downsizing of our company.”

    However, Tri-State now expects to expand markets to accommodate the application of energy to other uses, including transportation and home heating, a concept called beneficial electrification. Just what it has in mind there will become more clear next week.

    This expansion could partially offset loss of members. Delta-Montrose Electric, which represents 4% of Tri-State’s load, will leave Tri-State in May and will instead be supplied by Guzman Energy. Poudre Valley REA, the second-largest member cooperative in terms of demand, at 8%, informally asked for a buy-out number in 2018 but, unlike United and La Plata, has taken no additional action. Directors adopted a goal of 80% carbon-free electricity by 2030.

    Both United and La Plata are skirmishing legally with Tri-State at both the Colorado Public Utilities Commission and at the Federal Energy Regulatory Commission. They have asked the Colorado PUC to determine a fair and just exit fee.

    Tri-State’s response to the complaints is an offer to provide a partial-requirements contract, one that allows greater ability of local co-ops to generate their own resources. At the press conference, Highley said he is confident that the committee tasked with the details will deliver an acceptable product by April. But patience is publicly wearing thin at United Power. “We’ve spent 18 months trying to change this contract, and all that we have gotten from Tri-State is delays, evasions and excuses,” Parker said in press release issued last week.

    The great coal/electricity decoupling, illustrated. Graph by Jonathan P. Thompson, data from the Energy Information Administration.

    Colorado’s Clean Energy Potential Reaches New Heights — E2 (Environmental Entrepreneurs)

    From E2:

    Colorado is leading the Mountain West’s clean energy economy.

    With nearly 60,000 clean energy workers now, the state’s potential reached new heights in 2018 with strong employment growth across cleantech sectors (4.8%)—far outpacing overall national (1.5%) and statewide (2.4%) job growth.

    According to Clean Jobs Colorado 2019 (downloadable PDF) report, Colorado’s is now among the top 10 states for jobs in three sectors: wind energy (3rd), bioenergy (9th), and overall renewable energy (6th). The state fell just outside the Top 10 in solar energy (11th). However, the majority of Colorado’s clean energy job growth came from energy efficiency and clean vehicles, which grew 7.2% and 22.5%respectively.

    Analyzing the state geographically,the employment analysis found that while Denver and Boulder accounted for nearly one out of every three clean jobs in the state, about 20 percent (29,000) are in areas outside the Denver, Boulder, Colorado Springs, and Fort Collins metro areas. Additionally, all 64 counties in the state are home to clean energy workers, with 11 counties supporting at least 1,100. Denver led all counties with more than 13,200 jobs, followed by Arapahoe (7,600) and Jefferson (5,800) counties. By density, Jackson, Denver, and Boulder counties led the state in clean jobs per 1,000 employable residents. All 64 counties in Colorado are home to clean energy workers, with 11 counties supporting over 1,000 jobs.

    Smart policies such as the Zero-Emission Vehicle standards adopted by Colorado’s Air Quality Control Commission in August and Gov. Polis’ roadmap to 100% renewable energy will help ensure that Colorado’s clean energy economy keeps growing. And businesses have noticed, with Colorado clean energy employers predicting they’ll add jobs more than twice as fast in 2019 (10.3%) as 2018.

    Colorado Job Sector Toplines

  • Energy Efficiency – 34,342 jobs
  • Renewable Energy – 17,073 jobs
  • Solar Energy – 7,775 jobs
  • Wind Energy – 7,318 jobs
  • Clean Vehicles – 3,323 jobs
  • Biofuels – 2,045 jobs
  • Energy Storage – 1,692 jobs
  • Grid Modernization – 1,272 jobs
  • ALL Clean Energy Sectors – 59,666 jobs
  • Other Highlights from 2018

  • Clean energy jobs also now employ 26,000 more workers than the state’s entire fossil fuel industry (10,022)
  • 8,100 workers Coloradans located in rural areas work in clean energy
  • 64% of clean energy workers are employed by businesses with fewer than 20 total employees
  • Colorado clean energy employers are projecting 10.3% employment growth for 2019.
  • Construction (37.6%) and professional services (40.7%) make up the majority of clean energy jobs.
  • 9.6% of Coloradans employed in clean energy are veterans
  • Denver led all counties in Colorado with 13,200 jobs, followed by Arapahoe (7,600) and Jefferson (5,868) counties