In accordance with state law, we are required to adopt programs that help customers reduce emissions from natural gas appliances and heating systems. To pay for these programs, our board approved the “Colorado Clean Heat Plan Charge,” which appears on our bills to recover expenses related to this law.
The 2021 law requires gas distribution utilities like ours to reduce natural gas emissions from home- and business-based appliances and HVAC systems by 4% by 2025 and 22% by 2030, from 2015 levels.
We also filed our own Clean Heat Plan with the State of Colorado in August 2023. This plan explains how we’ll work with customers to reduce emissions from homes and businesses. We await approval of this plan from the Air Pollution Control Division (APCD) at the Colorado Department of Health & Environment (CDPHE).
Colorado Clean Heat Plan Charge
The new charge will help recover expenses related to state mandates under Colorado’s Clean Heat Plan. The new charge is not a flat fee. It is based on the customer’s use of natural gas. Here’s how it affects your bill:
- Residential customers should expect a charge of about $0.75 per month
- Commercial customers will average $6.20 per month
- Industrial customers should expect an average charge of $62 per month
*Note In winter, the charge could be higher because your natural gas use is higher.
The money collected from this charge, about $2.7 million, is used to fund customer rebates and efficiency programs to encourage installation of heat pumps, insulation, efficient water heaters, and more.
The separate charge allows us to provide transparent information about costs related to the Clean Heat Plan. Like our base rates, the charge will be reviewed annually.