Including renewable energy options in the portfolio mix for customers is not only a laudable goal in the Centennial State, but it's also the law. Both Colorado's investor-owned utilities and the electric cooperatives have been focused on meeting the guidelines outlined in statute since the passage of Amendment 37 in 2004 and subsequent legislation in 2007 and 2010. Xcel Energy is ahead of schedule with enough wind, solar, hydro and biomass to meet the 30 percent renewable energy standard by 2020.   Electric cooperatives, such as Tri State Generation and Transmission and Intermountain Rural Electric Association, are in process to meet their prescribed target of 10 percent in the next seven years.

With that knowledge in hand it makes the introduction and debate over SB13-252, Increasing Renewable Energy Standards for Colorado's Electric Cooperatives (Morse-Ferrandino) all the more curious. This legislation increases the renewable energy requirement for electric cooperatives by 150 percent, requiring them to meet a 25 percent mix by 2020. As you might expect, such a proposal comes with a price tag. Financial calculations from Tri-State total the cost of the necessary capital infrastructure required to meet the legislation's mandate - natural gas plants, siting and building transmission lines - between $2-$4 billion over the next six years. Additionally, the bill mandates business practices - something we find highly problematic - by limiting cost recovery options to Colorado customers, ensuring that our fellow citizens in rural parts of the state experience higher energy bills simply to increase the renewable energy mix for a system that already is being adopted with a time frame that is judicious.

Colorado's economy is rebounding, but as we are all keenly aware, it remains fragile. Decisions that drive additional cost - for residential consumers and businesses - do have impacts. For the rural customers served by the cooperatives the cost of this proposal averages an additional $8,000 per meter. Does that seem necessary or wise? How would you manage that cost increase in your household budget or on your P&L statement?

We understand, and honor the interest and intent of including renewable energy as part of the portfolio mix in our state. I would simply submit that the process adopted in 2007 is currently under way, and is on right on track.

Should you have questions about this measure, or any other proposal before the General Assembly, please do not hesitate to contact me at tamra@coloradoconcern.com.