Regulators in Colorado recently approved a proposal from Xcel Energy to promote electric vehicles (EVs). The transport electrification plan includes developing a network of 20,000 charging stations. It also involves premiums for purchasing EVs and incentives to charge EVs during off-peak hours.
The initiative will be funded by a 67-cent charge on ratepayers’ utility bills. But the Colorado Energy Office believes that the plan will reduce electric rates in the long run. They believe it will encourage customers to charge their vehicles when electricity costs are low.
Will Toor, director of the Energy Office, describes Xcel’s plan as “well-designed” and “comprehensive.” “From the state’s perspective, we are very pleased with the decision the Public Utilities Commission made,” he explains. “Both the level of investment and ambition in the plan line up very well with the imperative to electrify our transportation system.”
Xcel’s program aims to support Colorado’s goal of having 940,000 EVs on the road by 2030. Xcel Energy would need to have 450,000 EVs operating in its service area by that time to achieve the state’s goal. Currently, Xcel serves approximately 30,000 light-duty EVs in Colorado. The utility expects this figure to rise to 100,000 over the next three years.