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CHP State-by-State Information
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in Colorado
NUMBER OF SITES: 41
INSTALLED MEGAWATTS: 810
Education Sector
- University of Colorado – Boulder
- Colorado State University
- University of Northern Colorado
Government/Public Buildings
- City and County of Denver – District 4 Police Station
- Colorado Department of Labor and Employment
- Metro Wastewater Reclamation District
*renewable energy
Industrial
- Amoco Production Company
- Conoco Inc.
- Centex Eagle Gypsum Co LLC
- ConAgra meatpacking facility
- Fort Lupton industrial park (tomato greenhouse and Montfort
packing plant)
Other
(See the
Installation Database for more information on these installations)

Electricity prices have varied little in the past two years, with
commercial prices oscillating slightly more than a penny. Colorado was
below national average prices for 2006.
| Colorado average
commercial retail electricity price (2006) |
7.50 ˘/kWh |
| National average
commercial retail electricity price (2006) |
9.46 ˘/kWh |
| |
|
| Colorado average
industrial retail electricity price (2006) |
5.88 ˘/kWh |
| National average
industrial retail electricity price (2006) |
6.16 ˘/kWh |
| * Source:
EIA. |

Natural gas prices in Colorado have been very volatile over the past
five years, especially industrial prices. While there has been a fall in
the past two years, any plans for gas fired CHP would be wise to
consider a forecast of price increases over the next few years.
When evaluating CHP, a considerable amount of attention needs to be
placed on the price of natural gas, and where it may be headed in the
future. The combination of relatively low electric prices and rising
natural gas prices makes it more difficult for a CHP project to be
economic and generate cost savings, but there are still going to be
successful applications for the appropriate use of CHP. The best
applications are those that value high reliability, have higher electric
rates during peak times, spend a high percentage of their energy bill on
air conditioning, and/or potentially could make use of a “waste fuel”.
| Colorado average
commercial natural gas price (2006) |
9.61 $/MCF |
| National average
commercial natural gas price (2006) |
11.99 $/MCF |
| |
|
| Colorado average
industrial natural gas price (2006) |
11.53 $/MCF |
| National average
industrial natural gas price (2006) |
7.86 $/MCF |
| * Source:
EIA. |
- Colorado’s voter-approved Renewable Portfolio Standard (known as
Amendment 37), includes Interconnection Standards for ALL generation
under 20 MW (not just renewable sources). The interconnection
standards very closely match those of FERC. The rules apply to all
jurisdictional electric utilities serving over 40,000 customers in the
state of Colorado that have not voted to exempt themselves, and are
subject to the Commission's regulatory authority. See the
Final Rules.
- Legislation enacted in 2002 clarifies the interconnection and net
metering requirements for all electric cooperatives in the state.
According to this legislation, standby and interconnection charges are
specifically authorized, and customers must pay all costs for
additional metering. Safety equipment includes a requirement for an
external disconnect switch. Customer equipment must meet IEEE, UL and
NEC requirements, and any other applicable regulations or standards.
The law does not mandate net metering; it allows utilities to offer
net metering.
- Check the DSIRE
Database for the latest updates.
- Check our Grants Page for any
state or federal grants that may be applicable for CHP systems in
Colorado.
- Also check the
DSIRE Database and the
EPA
CHP Partnership for additional incentives for Colorado.
- If you are thinking of putting in a project, you may to see if we know of any one-time grants or other
funding opportunities.
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