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Public Service Company of Colorado Granted Waiver for Cheyenne Ridge Wind Project Liquidated Damages Payment

Strategic Insights

— 2 min read

The Public Utilities Commission of the State of Colorado has granted a partial and temporary waiver to Public Service Company of Colorado, allowing the company to include a $3,433,096 credit from the Cheyenne Ridge Wind Project in the Electric Commodity Adjustment (ECA) revenue requirement. This decision was made in response to an Advice Letter filed by Public Service on May 30, 2025, which proposed revisions to the ECA factors and requested a waiver of Electric Tariff Sheets Nos. 143D-F to include the liquidated damages payment. The waiver will allow the company to pass on the reduction in ECA to customers in the third quarter of 2025, resulting in an estimated $0.40 per month decrease in the average typical small commercial electric bill.

Key Takeaways:

  • The Public Utilities Commission granted a partial and temporary waiver of Electric Tariff Sheets Nos. 143D-F to Public Service Company of Colorado, allowing the company to include a $3,433,096 credit from the Cheyenne Ridge Wind Project in the ECA revenue requirement.
  • The waiver is effective from July 1, 2025, to September 30, 2025, and will result in an estimated $3,004,636 decrease in revenue for the period July - September 2025.
  • The impact of this filing on the average residential customer electric bill is an increase of $0.40 per month to $96.87, or 0.41 percent.
  • The effect on the average typical small commercial electric bill is a decrease of $0.79 per month to $126.83, or 0.62 percent.
  • The Commission found good cause to grant the waiver pursuant to Rules 1003 and 1400 of the Commission's Rules of Practice and Procedure, 4 CCR 723-1.
  • The true-up to the actual amount will occur when the actual amount is recorded to the ECA Deferred Account Balance.

Statistics:

  • Estimated decrease in revenue for the period July - September 2025: $3,004,636
  • Increase in average residential customer electric bill: $0.40 per month to $96.87, or 0.41 percent
  • Decrease in average typical small commercial electric bill: $0.79 per month to $126.83, or 0.62 percent
  • Amount of credit to be included in the ECA revenue requirement: $3,433,096

Sources:

  • Decision No. C25-0494, Public Utilities Commission of the State of Colorado, "In the Matter of Advice Letter No. 1983 - Electric" (July 1, 2025)
  • Rules 1003 and 1400 of the Commission's Rules of Practice and Procedure, 4 CCR 723-1
  • Public Service Company of Colorado, "Advice Letter No. 1983 - Electric" (May 30, 2025)

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