Colorado Public Utilities Commissioner questions "whether or not Tri-State has been candid with us"7/19/2019
By Joe Smyth | @joesmyth
A Colorado utility’s attempts to avoid oversight by state regulators appears to be backfiring.
At a Colorado Public Utilities Commission hearing this week, Commissioner Frances Koncilja said she has “some serious questions about whether or not Tri-State has been candid with us,” and reminded the attorneys for electric utilities that “everyone who appears before a tribunal has an obligation of candor to the tribunal.”
Delta-Montrose Electric highlights "broad statewide support" from state legislators, industry trade associations, Colorado towns and cities, and advocacy organizations
By Joe Smyth | joe@cleancooperative.com | @joesmyth
The Colorado Public Utilities Commission (PUC) ruled on Thursday that it has jurisdiction to determine how much Delta-Montrose Electric should pay to end its contract with Tri-State Generation and Transmission Association. The PUC ruling is a boost to the electric cooperative's years-long efforts to pursue more local renewable energy projects and try to stabilize electric rates for its members.
Delta-Montrose Electric CEO Jasen Bronec said in a press release: “This is a significant ruling and confirms that no wholesale electricity supplier—not even Tri-State—is above the law. Tri-State talks about its ‘core principle’ of ‘voluntary and open membership’ in public. But its legal filings say that the Tri-State board can stop members from exiting by setting abusive charges with zero oversight." In a press release, Tri-State Board President Rick Gordon made clear that Tri-State would continue to push for the case to be heard in court, instead of at the PUC: “The commission’s assertion of jurisdiction is unnecessary and unwarranted, but is not unexpected. A private contract dispute, even between utilities, does not belong at the commission. This matter appropriately belongs in the courts.”
Colorado ski resorts support Delta-Montrose Electric exit from Tri-State
By Joe Smyth | joe@cleancooperative.com | @joesmyth
The ski industry is increasingly focusing its sustainability efforts on decarbonizing the electric grid, by engaging with their power suppliers, regulators, and state policymakers. In the latest move, a group of Colorado ski resorts are supporting Delta-Montrose Electric Association's efforts to end its contract with Tri-State Generation and Transmission Association and pursue more renewable energy.
In a letter to the Colorado Public Utilities Commission (PUC) last week, Colorado Ski Country USA President Melanie Mills wrote that the group "supports the efforts of Delta-Montrose Electric Association (DMEA) to withdraw from membership in Tri-State Generation and Transmission Association, Inc. (Tri-State) in order to develop more local renewable resources and stabilize its retail rates." The letter also notes that of Colorado Ski Country USA's 23 member ski resorts, 16 buy electricity from rural electric cooperatives. Most of those co-ops buy wholesale power Tri-State, and so face limits on their abilities to pursue local renewable energy projects. That poses challenges for some ski resorts' sustainability efforts. Ski resorts also notice higher electricity costs, as the letter explains: "As businesses and large consumers of energy, keeping energy sources affordable is critical for Colorado's ski areas to operate cost-effectively in the future."
By Joe Smyth | joe@cleancooperative.com | @joesmyth
The Colorado Public Utilities Commission today rejected Tri-State Generation and Transmission Association’s efforts to exclude the Colorado Energy Office from participating in the case between Tri-State and Delta-Montrose Electric Association. Delta-Montrose Electric has asked the Public Utilities (PUC) determine the amount it must pay to exit from Tri-State, while Tri-State has argued that the PUC does not have jurisdiction in the case.
The Colorado Energy Office sought to intervene in the case earlier this month, noting that it can “intervene as a matter of right” under Colorado law. But the agency also acknowledged that its request came after a 30 day deadline, because the agency’s new executive director Will Toor took office on January 14. In response, Tri-State argued that the Colorado Energy Office should not be allowed to intervene in the case, in part by claiming that the state agency's "concerns regarding DMEA's rates and facilities" are outside of the PUC’s jurisdiction. Tri-State claims that co-ops "have intervened on Tri-State's behalf at the PUC” don’t add up1/24/2019
By Joe Smyth | joe@cleancooperative.com | @joesmyth
Last week, a majority of Colorado state legislators urged the Colorado Public Utilities Commission (PUC) to determine the amount that Delta-Montrose Electric Association must pay to exit from Tri-State Generation and Transmission Association.
In response to the legislators’ letter, Tri-State has sought to highlight the support from its member co-ops for its argument that the Colorado PUC does not have jurisdiction in the dispute. The Denver Post reported: Tri-State spokesman Lee Boughey said in an email Friday that 34 of its member cooperatives have filed statements supporting the position that the state utilities commission doesn’t have jurisdiction in the contract dispute. The Grand Junction Daily Sentinel reported: Tri-State spokesman Lee Boughey said that 34 of Tri-State's members, or 80 percent, have made filings with the PUC in support of its position that the DMEA issue is not up to the PUC to decide. "Legislators should be aware that the vast majority of our members disagree with DMEA, and in fact have intervened on Tri-State's behalf at the PUC. We would encourage legislators to reach out to the co-ops in their districts for feedback when they're asked about these kinds of matters," Boughey said. But an analysis of the filings submitted by co-ops to the Colorado PUC shows that Tri-State’s claims are false. And requests for comment from the general managers of ten co-ops in Colorado returned only two responses - both disputing that they “have intervened on Tri-State behalf.” Colorado state legislators urge Public Utilities Commission to determine Tri-State exit charge1/20/2019
By Joe Smyth | joe@cleancooperative.com | @joesmyth
A majority of Colorado’s state legislators are urging the Colorado Public Utilities (PUC) to determine the amount that Delta-Montrose Electric Association must pay to exit from Tri-State Generation and Transmission Association.
In a letter this week to Colorado PUC Chairman Jeff Ackermann and Commissioner Frances Koncilja, 17 Colorado State Senators and 35 State Representatives wrote: We submit these comments in support of the filing last month by Delta-Montrose Electric Association (DMEA) asking the Colorado Public Utilities Commission to set a just, reasonable, and nondiscriminatory charge for DMEA’s exit from Tri-State. As members of the Colorado General Assembly who care about rural economic development and allowing all Coloradans access to less expensive power from local and diverse generation sources, we urge the Commission to strongly consider exercising its jurisdiction under Colorado law and setting an exit charge fair to both DMEA and Tri-State’s remaining members.
By Joe Smyth | joe@cleancooperative.com | @joesmyth
Delta-Montrose Electric Association (DMEA) took a major step forward in its effort to end its contract with Tri-State Generation and Transmission Association, by filing a formal complaint last week requesting that the Colorado Public Utilities Commission (PUC) "exercise its jurisdiction over Tri-State as a public utility" and "establish an exit charge that is just, reasonable, and nondiscriminatory."
On Monday morning, the Colorado PUC ordered Tri-State "to satisfy the matters in the complaint or to answer the complaint in writing within 20 days." On Monday afternoon, DMEA filed a request that the PUC establish a schedule for the hearings process that would result in a decision by July 11, 2019.
DMEA has sought for years to loosen the restrictions that Tri-State imposes on electric cooperatives, which prevent DMEA and other Colorado co-ops from pursuing more local renewable energy projects. In October, DMEA members voted to give the electric cooperative more financial options to pursue a buyout of its Tri-State contract.
DMEA noted in a press release that it "will partner with Guzman Energy," the same power supplier that supported Kit Carson Electric's $37 million buyout of its contract with Tri-State. Guzman Energy announced today that it is seeking Requests for Proposal for up to 200 megawatts of wind energy and 50 megawatts of solar energy, and has obtained a $200 million capital commitment to help bring on that new renewable energy. Guzman Energy President Chris Riley confirmed that a portion of the 250 megawatts of wind and solar would be used to serve DMEA, if the co-op succeeds in ending its contract with Tri-State.
By Joe Smyth | joe@cleancooperative.com | @joesmyth
Delta-Montrose Electric Association members voted to approve changes to the electric cooperative's articles of incorporation this week, creating new financing options that will help the co-op end its contract with its power supplier, Tri-State Generation and Transmission Association. Under the new articles of incorporation, Delta-Montrose Electric Association (DMEA) will be able raise money by issuing capital stock, “which could be used to fund DMEA’s potential Tri-State buyout,” according to a press release.
“We believe addressing our power supply costs is essential for long-term rate stabilization for our members. This was the primary driver behind our recommendation to amend and restate the Articles of Incorporation,” said Delta-Montrose Electric CEO Jasen Bronec in a statement. The DMEA board urged members to vote yes, including with a video that focused on how the changes would help DMEA finance a buyout of its contract with Tri-State. The co-op also hosted community meetings about the proposed changes. DMEA members voted by mail and at a special meeting on October 16, with 2,677 members voting yes (68%), and 1,248 voting no (32%).
By Joe Smyth | joe@cleancooperative.com | @joesmyth
The Delta Montrose Electric Association (DMEA) board of directors is urging members to support a proposal that would change the electric cooperative’s articles of incorporation, to support DMEA’s efforts to end its contract with Tri-State Generation and Transmission Association.
DMEA posted a video and background information on its website to explain the proposed changes, and the reasons the board of directors is recommending that members vote yes this October to support the proposal. According to DMEA: The revisions do three general things. First, they modernize and streamline language (which in some cases been in place since 1938). Second, they allow DMEA to take advantage of being governed by a newer Colorado cooperative law (called the Colorado Cooperative Act). Third, they give DMEA more financial flexibility by allowing it to issue capital stock to non-members. Those new financing options could be a first for electric cooperatives. DMEA says, “While we are not aware of any electric cooperatives that have issued capital stock to non-members, many other types of co-ops have,” including major agricultural cooperatives like Sunkist, Oceanspray, and Land O Lakes. DMEA will host a series of town halls next month about the proposed changes, and members will receive ballots the last week of September. DMEA members can cast their vote by mail, or in person at an October 16 meeting. |
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Lignite Energy Council shouldn’t be funded by utility ratepayers, Minnesota Attorney General argues Major co-op supports Biden coal debt relief proposal that NRECA has sought to undermine Basin Electric faces growing pressure on coal from co-ops, insurers, and banks Tri-State: Moving a cooperative power provider from coal to clean energy Tri-State will replace coal plants with a gigawatt of new wind and solar United Power and La Plata Electric ask Colorado Public Utilities Commission to determine Tri-State exit fee Colorado Rural Electric Association spent electric cooperatives’ money supporting Republican politicians Colorado Public Utilities Commissioner questions "whether or not Tri-State has been candid with us" Rural America could power a renewable economy - but first we need to solve coal debt Tri-State explores FERC rate regulation to limit state oversight Poudre Valley Electric sets "80 by 2030" carbon free goal Guzman Energy proposal would finance retirement of Tri-State coal plants, add 1.2 gigawatts of new wind and solar power Colorado Public Utilities Commission will oversee Tri-State resource planning Colorado communities and state Energy Office urge Public Utilities Commission oversight of Tri-State Reports examine the impacts of Tri-State's high wholesale power costs Tri-State executive involved with anti-Clean Air Act group since 2005 US Congressional Committee requests details of Tri-State funding to anti-Clean Air Act group Renewable energy projects stalled in 2018 among Tri-State member co-ops Second co-op asks Tri-State to pull “Better Together” ads Tri-State won’t allow co-op members to attend annual meeting Tri-State expects member co-ops to support bylaw changes at annual meeting Rocky Mountain Farmers Union calls on Tri-State to adopt flexible contracts and more clean energy Co-ops in Colorado push for change at Tri-State Will Municipal Energy Agency of Nebraska remain reliant on coal? Tri-State ad campaign tells co-ops they’re “better together” La Plata Electric concerned Tri-State debt will lead to higher rates Colorado Public Utilities Commission asserts jurisdiction over Tri-State More Colorado co-ops announce clean energy goals Ski industry climate change efforts shift to electric utilities and their regulators Public Utilities Commission rejects Tri-State motion to exclude Colorado Energy Office from exit charge case Tri-State claims that co-ops "have intervened on Tri-State's behalf at the PUC” don’t add up Colorado state legislators urge Public Utilities Commission to determine Tri-State exit charge United Power says Tri-State policies are turning away large customers Next PUC Commissioner John Gavan "consensus choice" of Governors Hickenlooper and Polis Tri-State policy change discourages battery projects in rural Colorado and New Mexico Colorado Public Utilities Commission orders Tri-State to "satisfy or answer" exit charge complaint from Delta Montrose Electric United Power seeks solutions to "increasingly outmoded G&T business models" Clean Energy Means Business Summit highlights renewable energy opportunities and challenges in rural Colorado Governor-elect Jared Polis says moving Colorado toward more renewable energy will be a top priority Electric cooperative officials discuss cheap renewable energy and an “eroding monopoly” Delta Montrose Electric members vote for new financing options, supporting a potential buyout of Tri-State contract Poudre Valley Electric requests Tri-State policy changes and fuel mix study Holy Cross Energy plans to shift away from coal, aiming for 70% renewable energy What do corporate renewable energy commitments mean for electric utilities? Colorado Energy Plan approval will mean new renewable energy investments in rural Colorado Report: Tri-State could save $600 million by shifting from coal to renewable energy Delta Montrose Electric seeks new financing options to end contract with Tri-State Wind energy jobs in rural Colorado attract bipartisan support Colorado Energy Plan analysis shows switching from coal to renewable energy will boost jobs and local tax revenue Poudre Valley Electric and Xcel Energy Colorado President win national awards from Smart Electric Power Alliance Latest coal plant subsidy proposal could hit electricity bills in the West Moody’s report: “High quality renewable resources” could help Tri-State and Basin Electric navigate rising carbon transition risks Senator Heinrich highlights “frustrations in New Mexico” with Tri-State’s limits on local solar Moody’s report shows Tri-State’s coal plants are more expensive than new renewable energy Tri-State’s limits on local energy development are a growing problem for co-op members Governor Hickenlooper discusses Tri-State at the Climate Leadership Conference Bids for Xcel’s Colorado Energy Plan include a proposal for the world’s largest battery New wind and solar power in Colorado is now cheaper than existing coal plants Companies' 100% renewable energy goals are getting results in Colorado What does cheap solar mean for electric cooperatives? Colorado towns and cities are helping push utilities to embrace renewable energy How are electric cooperatives navigating the transition from coal to cheap clean energy? Blocked from building more solar projects, United Power shifts to community batteries Economic reality sets in for Tri-State efforts to expand the Holcomb coal plant Solar projects in the works in Grand and Jackson counties Mountain Parks Electric grapples with solar Categories
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