Energy

The microgrids for community resilience grant program (grant program) in the division of local government in the department of local affairs provides grants for cooperative electric associations and municipally owned utilities to purchase microgrid resources for eligible rural communities located within their service territories. Under current law, the grant program is set to repeal on September 1, 2026. The act continues the grant program indefinitely by removing the repeal date.(Note: This summary applies to this bill as enacted.)

The act establishes a first and preferred opportunity for available employment for coal transition workers in coal transition communities (hiring preference). A business entity located in a coal transition community that is engaged in the business of constructing or operating railroads, utilities, energy generation facilities, or advanced manufacturing facilities (covered business) is required to comply with the hiring preference. A covered business does not include the state government or a local government.     A covered business is required to make good faith efforts to provide a hiring preference to a coal transition worker who meets the qualifications for an employment position (qualified coal transition worker). A covered business may hire an individual who is not a qualified coal transition worker only if a qualified coal transition worker did not apply for employment with the covered business, each qualified coal transition worker declined a job offer from a covered business, or a qualified coal transition worker's qualifications did not meet the qualifications of other candidates for the same job.     If a qualified coal transition worker applies for employment with a covered business, the covered business is required to report specified information annually to the just transition office. The executive director is required to adopt policies and procedures to implement the act. A hiring preference does not apply if a covered business places an existing employee in another employment position with the covered business or to the extent that a hiring preference conflicts with the terms of a collective bargaining agreement that applies to the relationship between a covered business and its employees.     Currently, a public entity is not allowed to invest public funds in certain types of investments, such as equity instruments, instruments convertible to equity, or equity interests, or to deposit public funds with any person except certain depository institutions, which are primarily banks. The act authorizes a public entity to deposit or invest, either directly or through an investment firm or other third party authorized by the public entity, public funds from a payment or settlement that the public entity has received to offset the socioeconomic impacts to a community or government from the closure of a coal mine or coal power generating station in any investment permitted by an investment policy approved by the public entity.(Note: This summary applies to this bill as enacted.)

Senate Bill 25-163, concerning the establishment of battery stewardship programs for the disposal of certain batteries, created the 'Battery Stewardship Act', which requires the establishment of battery stewardship organizations and the submittal of battery stewardship plans to the executive director of the department of public health and environment (executive director) for the collection, transportation, processing, and recycling of certain batteries.     The act expands the scope of the 'Battery Stewardship Act' to cover the end-of-life management of propulsion batteries, which are batteries that are primarily used to supply power to an electric or hybrid vehicle, and establishes requirements concerning propulsion batteries that differ from the requirements for the batteries currently contemplated by the 'Battery Stewardship Act'.     On or before July 1, 2027, a person selling, offering for sale, or distributing propulsion batteries or vehicles containing a propulsion battery in or into the state (propulsion battery provider) is required to register with the department of public health and environment (department).     On or before January 2, 2029, a propulsion battery provider or group of propulsion battery providers must submit to the executive director an education and outreach plan that contains certain information about the management of propulsion batteries. On and after July 1, 2029, the act prohibits a propulsion battery provider from selling, making available for sale, or distributing a propulsion battery in or into the state unless the propulsion battery provider has submitted an education and outreach plan that meets the requirements of the act. The act also requires a propulsion battery provider to develop and maintain at least one website that, among other things, includes the information in the propulsion battery provider's education and outreach plan.     The act requires propulsion battery providers to collect certain unwanted propulsion batteries and ensure the responsible management of the unwanted propulsion batteries collected. In addition, the act requires a propulsion battery provider to, on and after July 1, 2029, label a propulsion battery and specifies the information that must be included on the label. On or before June 1, 2030, and on or before each June 1 thereafter, a propulsion battery provider is directed to submit an annual report to the executive director covering the preceding calendar year of the responsible management of the propulsion batteries collected by the propulsion battery provider.     A propulsion battery provider is required to pay a program initiation fee to the department. The amount of the program initiation fee for each propulsion battery provider is based on each propulsion battery provider's percentage of all propulsion battery vehicles registered in the state. On or before July 1, 2030, and on or before each July 1 thereafter, a propulsion battery provider is also required to pay an annual fee to cover the department's cost of implementing, administering, and enforcing the act. The solid and hazardous waste commission is directed to establish the annual fee amount by rule on or before July 1, 2029.     The act specifies how the department is required to implement, administer, and enforce the act. For example, the department is required to assess annual reports submitted by propulsion battery providers, compile a list of entities registered with the department, provide a digital registration form that an entity can use to register, and conduct an email survey with registered entities to request feedback on the functioning of the propulsion battery management program.     The act also sets forth requirements for persons that remanufacture a propulsion battery; persons that use a propulsion battery for a different use than the use for which the propulsion battery was originally designed; commercial entities that take possession of a propulsion battery for the purpose of selling, dispositioning, repairing, reusing, or recycling the propulsion battery; and entities that conduct propulsion battery recycling.     On and after July 1, 2029, the disposal of propulsion batteries at a solid waste disposal site and facility is prohibited.(Note: This summary applies to this bill as enacted.)

The bill removes wind energy as an eligible renewable energy resource under Colorado's renewable energy standard and removes wind energy generation from consideration for the state's clean energy targets.(Note: This summary applies to this bill as introduced.)

The act requires an investor-owned utility (utility) to establish a percentage-of-income payment plan program (PIPP program) to assist income-qualified residential utility customers with utility costs. An income-qualified utility customer is eligible for the PIPP program if the customer meets the income eligibility criteria, lives in the service area of the utility, and either submits an application to the utility or is referred by another income-eligible assistance program offered by the department of human services, the Colorado energy office, or another energy assistance program approved by the public utilities commission (commission). A utility must approve or deny a customer's application for participation in the PIPP program within 30 days.     The utility bill for a customer enrolled in a utility's PIPP program is capped at a specific percentage of the customer's household income, typically ranging from 2% to 6% of the customer's household income depending on the heating source provided and the size of the utility. The difference between a customer's actual utility bill and their PIPP program bill is covered by a fixed credit, which can be an up-front annual credit or an equal monthly credit to the customer's utility bill. The act also establishes arrearage credits for customers in the PIPP program, which are applied to eliminate a customer's preexisting debt prior to the customer's enrollment in the PIPP program.     A utility's PIPP program is funded through a 'PIPP charge' itemized on all customer bills. The amount of the PIPP charge is established by the commission by rule for the utility. A utility must submit an annual report related to the utility's PIPP program to the commission. The report must include the following information:The PIPP charge revenue collected by the utility;Any amount contributed to the PIPP program by the utility from shareholder profits;A calculation of administrative costs associated with implementing and administering the PIPP program;The amount of fixed monthly or annual credits provided to customers in the utility's PIPP program; andThe amount of arrearage credits provided to customers in the PIPP program.      The act exempts products fueled by propane and products used exclusively for installation in manufactured homes from emissions standards adopted by the Colorado department of public health and environment related to heating and water heating appliances until January 1, 2031.     The act extends the deadline by which money in the 'Infrastructure Investment and Jobs Act' cash fund may be appropriated from July 1, 2028, until July 1, 2031.(Note: This summary applies to this bill as enacted.)