Meeting Colorado Renewable Energy Standards is Inexpensive

A Denver Post blog detailed a study examining the cost-effectiveness of meeting the renewable energy standards set in Colorado. The joint study conducted by the National Renewable Energy Laboratory (NREL) in Golden, CO and the Lawrence Berkeley National Laboratory (LBNL) concluded that meeting these standards is inexpensive, especially when compared to other states.

Cost of Colorado Renewable Energy

In Colorado, the cost of compliance was 1 cent/kWh in 2012. Today, the cost remains low, thanks to significant reductions in solar panel prices and technological advancements in renewable energy. For instance, the cost of solar installation has dropped dramatically, now averaging around $1.50 to $2.50 per watt for residential systems. This makes Colorado one of the most cost-effective states for solar energy.

Colorado Solar Panels

One factor influencing the cost of meeting Colorado’s renewable energy standards is the requirement for rooftop solar or distributed generation. While the initial costs of installation can be higher than other alternatives, the long-term operating costs are low, leading to significant savings over time. Additionally, advancements in solar technology have improved the efficiency and lifespan of solar panels, further enhancing their cost-effectiveness.

Incentives and Programs

Xcel Energy's Solar Rewards program continues to support the adoption of solar energy through various incentives. Although rebates have fluctuated, the overall support for renewable energy installations has remained strong. The state of Colorado also offers additional incentives, such as property tax exemptions and sales tax exemptions for solar installations.

Conclusion

Advancements in technology and continued support from both state and utility programs have made it more affordable than ever to meet Colorado’s renewable energy standards. With ongoing reductions in the cost of solar installations and increased efficiency, Colorado remains a leader in renewable energy adoption.

For more information on incentives and rebates, visit Xcel Energy’s program page.