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Colorado Electricity Information

Colorado’s electricity generation is a mix of coal, natural gas, and renewables, with wind and solar energy playing an increasingly prominent role. The state’s sunny skies and windy plains make it a leader in renewable energy, and it has set ambitious goals to further reduce fossil fuel reliance. Coal, once the dominant source, has been steadily declining as utilities transition to cleaner options. Electricity consumption in Colorado is moderate, with residential use peaking during winter heating and summer cooling seasons, while industrial and commercial sectors also contribute significantly to demand.

Electricity prices in Colorado are close to the national average, with some variability depending on location and utility provider. The state has made notable progress in reducing emissions by embracing renewables, improving energy efficiency, and implementing policies to curb carbon output. Colorado’s commitment to a clean energy future is evident in its growing investments in wind, solar, and storage technologies, as well as initiatives to support electric vehicles and sustainable communities. This forward-thinking approach balances environmental stewardship with economic growth, making Colorado a leader in the energy transition.

Navigating Time-of-Use (TOU) Rates

Many Colorado residents, particularly Xcel Energy customers, are now billed under “Time-of-Use” rates. This means the price of electricity changes depending on when you use it, not just how much you use. Understanding this schedule is the single easiest way to lower your monthly bill.

The “Peak” Danger Zone: On weekdays, electricity is significantly more expensive between 5:00 PM and 9:00 PM. This is when demand on the grid is highest.
The Strategy: Avoid running high-energy appliances like dishwashers, washing machines, and clothes dryers during these hours.
The Savings Window: Electricity is cheapest on weekends, holidays, and weekdays before 5 PM or after 9 PM. Charging your Electric Vehicle (EV) overnight rather than right when you get home from work can save you hundreds of dollars a year.

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Electricity Production

Primary Source

Coal

Total Generation: 57,541,720 MWh
Ranks 29th Highest in the U.S.
Average Price: 16.16¢ /kWh
Ranks 30th Cheapest in the U.S.
Average Electric Bill: $102.53
Ranks 5th Cheapest in the U.S.

Electricity Production By Source

Emissions From Electricity Generation

Carbon Dioxide Emissions Rank

21st Highest

27,579 TMT

Sulfer Dioxide Emissions Rank

27th Highest

9,744 tn

Nitrogen Oxide Emissions Rank

31st Highest

16,580 tn

Renewable Electricity Generation

Renewable Production Rank

10th Highest

21,303,279 MWh
37.02% of Total Production

Source U.S. Energy Information Administration (EIA) Based on data from 2023

Energy Usage in Colorado

Energy Usage Per Capita Rank

19th Lowest

Average Per Person: 251 million BTU

Colorado’s electricity use reflects its varied climate, semi-arid High Plains, hot summer days along the Front Range, and long, cold heating seasons in the mountains. Air-conditioning drives summer peaks in metro areas like Denver and Colorado Springs, while winter demand rises statewide from lighting, heat pumps, and electric resistance heat (even though many homes still use natural gas for space heating). Ski-town economies, year-round tourism, and a growing population add steady load, and widespread rooftop solar is shifting more consumption into evening hours when the sun sets. The result is a grid shaped by hot-day cooling, alpine winters, and rapid growth, with pronounced seasonal swings and sharp late-day peaks.

Municipal Utilities in Colorado

While most cities, towns, and villages throughout the state of Colorado offer municipal essential services like providing clean water, sewage treatment and dealing with waste and storm water, some also offer other services like electricity, natural gas, sanitation or recycling. In Colorado, 35 cities offer municipal electricity utility services to their residents.

Largest Electric Companies in Colorado

The rest of Colorado receives electric utility service from one of many primary providers. Here’s a list of some of the larger providers that might be available to your home:

Colorado Natural Gas Information

Along the Front Range from Fort Collins through Denver to Colorado Springs, natural gas is the workhorse for space and water heating, with winter cold snaps driving sharp morning and evening peaks. Up in ski towns and the high country, long heating seasons stretch well into spring, while the Western Slope’s oil-and-gas activity and the plains’ cold, windy winters add steady demand. Summer electricity loads are moderate compared to the Southeast, but gas-fired plants still help firm the grid alongside Colorado’s growing wind and solar, especially during evening hours when solar fades and thunderstorms roll through.

Colorado’s retail natural gas market is regulated for households: utilities such as Xcel Energy (PSCo), Atmos Energy, and Black Hills Energy procure the commodity and deliver it through their pipelines. The result is a system tuned for reliability in a mountain state with real heating seasons, where natural gas remains central to comfort at home and to balancing an increasingly renewable grid.

Average Natural Gas Price

$1.62 /CCF

Ranks 11th Cheapest in the U.S.

Average Natural Gas Bill

$88 /month

Ranks 19th Cheapest in the U.S.

Natural Gas Usage Per Capita

37th Lowest

Average Per Person: 57.48 MCFs Annually

Largest Natural Gas Companies in Colorado

Many of the residents of Colorado receive their natural gas utility service from one of the larger companies that service the state.

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Colorado Internet Connectivity

Broadband Availability

88.98%

Ranks 29th in the U.S.

Percent of Ppopulation with access to 100 Mbps download and 20 Mbps upload

1 Gig Availability

35.65%

Ranks 19th in the U.S.

Percent of population with access to download speeds of 1 Gbps

Fiber Availability

31.71%

Ranks 14th in the U.S.

Percent of population with access to Fiber Internet

Largest Internet Providers in Colorado

When it comes to high-speed internet, homes in Colorado have plenty of options to stay connected! From bustling cities to quiet rural areas, a variety of providers offer reliable service across the state. Here are some of the biggest names keeping Colorado homes online and in the loop:

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Community Solar Gardens

You do not need to own a home or have a sunny roof to use solar power in Colorado. The state is a leader in "Community Solar Gardens," which allow you to subscribe to a local solar project.

How it Works: You subscribe to a portion of a solar array located elsewhere in your community. The energy produced by your share is fed into the main power grid.
The Benefit: You receive a credit on your monthly utility bill for the electricity your share produced.
Who is it for? This is an ideal solution for renters, apartment dwellers, or homeowners whose roofs are too shaded for traditional solar panels.

Colorado's Rain Barrel Law

For years, collecting rainwater was illegal in Colorado due to complex water rights laws. However, as of 2016, residential rainwater collection is legal and encouraged for conservation, provided you follow specific rules.

The Allowance: Single-family households (and multi-family units with 4 or fewer units) are allowed up to two rain barrels with a combined capacity of 110 gallons.
Usage Restrictions: The water must be used for outdoor purposes only (such as watering lawns, gardens, or washing outdoor equipment) and must be used on the property where it was collected. It cannot be used for drinking or indoor water needs.
Best Practice: Ensure your barrels have a sealable lid and a mosquito screen to keep the water clean and safe.

Consumer Rights & Resolving Disputes

If you have a dispute with your utility provider regarding billing, shut-offs, or service quality that you cannot resolve directly with the company, you have options.

The Regulator: The Colorado Public Utilities Commission (PUC) regulates investor-owned utilities (like Xcel, Black Hills, and Atmos) and ensures they follow state laws.
Filing a Complaint: You can file an informal complaint with the PUC Consumer Affairs section if you feel you have been treated unfairly.
Contact: Call the PUC Consumer Affairs line at 303-894-2070 or visit their website to start the process. Note: Municipal utilities (run by cities) and co-ops are often governed by their own local boards rather than the PUC.

High-Altitude Efficiency Tips

Colorado’s climate, high altitude, low humidity, and intense sun, requires a different approach to efficiency than other parts of the country.

Evaporative "Swamp" Coolers: Because Colorado air is so dry, evaporative coolers are often far more efficient and affordable than traditional central air conditioning. They use water and a fan to cool air, using up to 75% less electricity than A/C.
Passive Solar Heating: In winter, open your south-facing blinds during the day. The intense high-altitude sun can naturally heat your home by several degrees for free. Close them at sunset to trap the heat inside.
Insulation Matters: Nights in the high desert get cold, even in summer. ensuring your attic insulation is up to current standards (R-49 to R-60) keeps your home temperature stable year-round.

Utility Costs in Colorado

The average monthly total utility bills in Colorado is $231.63, which is 16.42% lower than the national average.

Average Electric Bill

$103

Lower than national average

Average Natural Gas Bill

$88

Lower than national average

Average Water Bill

$41

Lower than national average

Assistance for Paying Utility Bills in Colorado

If you are struggling to keep up with rising energy costs, Colorado offers several statewide and local programs designed to help keep your lights on and your home warm. In addition to general assistance, specific resources are available for seniors, veterans, and students.

General Assistance Programs

Most residents meeting income qualifications can apply for these primary state resources:

Colorado LEAP (Low-income Energy Assistance Program): This federally funded program runs from November 1 through April 30 and helps pay a portion of winter heating costs. It is not intended to pay your entire bill but acts as a critical supplement during the coldest months.
Energy Outreach Colorado (EOC): If you are facing a shut-off notice or your equipment has failed, EOC partners with local agencies to provide emergency financial assistance and free furnace repairs.
Utility Bill Help (UBH): This state-run program works with major utility providers (like Xcel Energy, Black Hills, and Atmos) to limit your energy payments to a fixed percentage of your income (usually 6%).

Special Programs for Seniors

Older adults in Colorado often qualify for additional rebates and specialized emergency funds.

Property Tax/Rent/Heat (PTC) Rebate: Run by the Colorado Department of Revenue, this rebate is available to residents who are at least 65 years old (or surviving spouses 58+) and meet income requirements. It can provide a direct cash rebate to help offset heating expenses.
Local Aging Resources: Many county-specific “Agencies on Aging” have emergency funds reserved specifically for seniors facing utility disconnects.
- Tip: Call 2-1-1 from any phone in Colorado to be connected with senior-specific resources in your county.

Special Programs for Veterans

Veterans facing financial hardship can access grants that are not available to the general public.

VFW Colorado Grants: The Veterans of Foreign Wars (VFW) Department of Colorado offers emergency financial assistance grants for veterans who have insufficient resources to meet critical needs, including utilities.
Operation Homefront: This national organization provides critical financial assistance to eligible active duty, deployed, and veteran families for bills including electric, gas, and water.
Supportive Services for Veteran Families (SSVF): This VA-sponsored program helps veterans who are homeless or at risk of homelessness (due to unpaid bills) maintain their housing.

Assistance for Students

Students living off-campus often assume they do not qualify for assistance, but many meet the income criteria for state programs.

LEAP Qualification: FAFSA awards and student loans are not counted as income when applying for the Low-income Energy Assistance Program (LEAP). This makes many low-income students eligible for winter heating aid.
University Crisis Funds: Most major Colorado universities maintain emergency funds for students.
- CSU: Check resources via Student Case Management.
- CU Boulder: Contact the Student Emergency Fund.
- UCCS: Review the Basic Needs Resources.
Lifeline Program: Students receiving Federal Pell Grants may automatically qualify for Lifeline, a federal program that lowers the monthly cost of phone or internet service.

Learn More in our Student Utility Setup Guide