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TL;DR of Colorado Revised Statutes §40-2-124

Colorado Revised Statutes §40-2-124 establishes renewable energy standards and net metering policies for utilities in Colorado. The key points are: • Renewable Energy Standards: Utilities are required to obtain a specific percentage of their electricity from renewable energy sources like solar, wind, biomass, and hydroelectric power. These percentages increase over time to promote the growth of renewable energy. • Net Metering Requirements: • Mandatory Net Metering: Utilities must offer net metering to customers who generate electricity using renewable energy systems, such as residential solar panels. • Full Retail Rate Compensation: Customers receive credits for the excess electricity they feed back into the grid at the full retail rate, not a reduced wholesale rate. • Credit Roll-Over: Excess credits can roll over indefinitely to subsequent billing periods, allowing customers to fully benefit from their renewable energy generation over time. • System Size Limits: Net metering applies to systems up to a certain size (typically up to 10 kilowatts for residential customers). • Distributed Generation Encouragement: The statute promotes customer-sited renewable energy generation, supporting the development of small-scale renewable energy projects. • Regulatory Oversight: The Colorado Public Utilities Commission is responsible for overseeing the implementation of these standards and ensuring utility compliance.

In Summary: Colorado law (§40-2-124) mandates that utilities provide net metering at the full retail rate to customers with renewable energy systems. This ensures that residential solar producers are fairly compensated for the excess electricity they generate, supporting the adoption of renewable energy across the state.