Colorado § 40-2-132.7 - Energy planning proceedings - investigation to streamline - report - repeal.

§ 40-2-132.7. Energy planning proceedings - investigation to streamline - report - repeal.

(1) On or before December 1, 2026, the commission shall open one or more miscellaneous proceedings to investigate potential barriers to and opportunities for streamlining energy planning proceedings, integrating gas and electric system planning, and maximizing the efficiency and effectiveness of customer programming. In conducting the miscellaneous proceedings, the commission shall identify and evaluate recommendations related to:

(a) Revising the timing and order for key planning proceedings to achieve regulatory efficiency and reduce litigation costs while maintaining high standards of regulatory oversight;

(b) Integrating gas and electric system planning as a means to reduce ratepayer costs and to advance federal, regional, state, and local air quality and decarbonization goals; and

(c) Improving the cost-effectiveness and effectiveness of utility customer programs, including demand-side management, beneficial electrification, clean heat, customer-sited renewable energy and storage, and income-qualified service programs.

(2) In evaluating potential barriers and opportunities for integrating gas and electric system planning pursuant to subsection (1)(b) of this section, the commission shall consider:

(a) Implementing emerging forecasting and modeling practices to allow for optimization across gas and electric systems;

(b) Aligning planning processes, forecasts, assumptions, programs, initiatives, or any combination thereof across gas, electric, and steam proceedings;

(c) Facilitating secure data sharing between gas and electric utilities and with certain nonutility entities, such as governmental bodies and third-party providers;

(d) Improving collaboration among utilities that have overlapping service territories;

(e) Evaluating and implementing geographically targeted zonal electrification;

(f) Evaluating and minimizing stranded asset risks; and

(g) Modifying cost-recovery methods to reduce ratepayer risk or to align utility incentives with relevant public policy objectives such as reducing greenhouse gas emissions.

(3) In conducting the miscellaneous proceedings pursuant to subsection (1) of this section, the commission shall solicit input from stakeholders through public workshops, written comments, and other forums.

(4) (a) Based on the miscellaneous proceedings conducted pursuant to subsection (1) of this section, the commission shall produce a report identifying its findings, conclusions, and recommendations. The commission shall include any recommendations regarding legislative, regulatory, or operational actions needed to:

(I) Improve regulatory efficiency and effectiveness, including through revising the timing and order of key planning proceedings;

(II) Advance integrated gas and electric system planning; and

(III) Deliver cost-effective, impactful, and streamlined utility customer programming to achieve public policy goals, including goals of reducing greenhouse gas emissions and increasing access to and the benefits of programming for income-qualified customers and disproportionately impacted communities.

(b) Within the report, the commission shall also identify whether any of the recommendations made pursuant to subsection (4)(a) of this section would require or benefit from legislation to change statutory deadlines for specific planning proceedings, and, if so, the commission shall recommend the statutory changes needed.

(5) On or before November 30, 2027, the commission shall submit the report to the house of representatives energy and environment committee, the house of representatives transportation, housing, and local government committee, and the senate transportation and energy committee, or their successor committees.

(6) This section is repealed, effective January 1, 2029.

Source: L. 2026: Entire section added, (HB 26-1326), ch. 210, p. 1243, § 48, effective August 12.

Editor's note: Section 50(2) of chapter 210 (HB 26-1326), Session Laws of Colorado 2026, provides that the act adding this section applies to conduct occurring on or after August 12, 2026.