Colorado Economic Recovery and Accountability

Energy Efficiency and Conservation

ENERGY EFFICIENCY -- CONSERVATION


 

State Energy Program:
Colorado’s State Energy Program plan has been approved by the Department of Energy, and the state has received most of its allocation of $49.2 million for energy efficiency and conservation projects. The Governor’s Energy Office plans to distribute these funds to create jobs, develop clean energy sources, reduce energy costs for residents and cut emissions of greenhouse gases while injecting the state’s economy with critical investments. The state plan divides the funds into seven categories: $19.2 million for finance and capital investment grants and revolving loans, $5.6 million for residential programs, $9.7 million for renewable energy development and expansion, $4.9 million for energy efficiency work on commercial buildings, $4.7 million for public information and consumer outreach, $723,348 for reducing the environmental impact of state government operations and $1.28 million for increasing energy efficiency among utility customers and electric utilities. Contact: Todd Hartman, Governor's Energy Office, 303-866-2262, todd.hartman@state.co.us; Barbara Alderson, U.S. Department of Energy, 303-275-4816, Barbara.alderson@go.doe.gov

 

Energy Efficiency and Conservation Block Grant Program:
Colorado expects to receive $42.6 million for projects that reduce energy use and fossil fuel emissions, and improve energy efficiency. The Governor’s Energy Office and various cities and counties are applying to the federal government. The goal is to reduce statewide energy used by 25 percent compared to 1990 use and to develop programs that will remain viable after the Recovery Act funds are spent. The money must be spent by Sept. 15, 2012 and is allocated mostly through formulas. The following grants have been awarded:

  • $18.9 million to the following cities from the U.S. Department of Energy: Arvada, Aurora, Broomfield, Castle Rock, Centennial, Colorado Springs, Commerce City, Denver, Fort Collins, Grand Junction, Greeley, Littleton, Thornton
  • $4.7 million to the following counties from the U.S. Department of Energy: Adams, Boulder, Arapahoe, Boulder, El Paso, Garfield, Larimer, Mesa, Weld
  • $9.6 million to the Governor’s Energy Office from the U.S. Department of Energy for statewide distribution. At least 60 percent of that money must go to cities and counties that did not receive a direct allocation of EECBG funding. $2.2 million of this was awarded in January 2010 to 18 community organizations to serve rural counties. More awards will be announced.

Contact: Ms. Angie Fyfe, 303-866-2059, angie.fyfe@state.co.us, Governor's Energy Office; http://www.eecbg.energy.gov/grantees/default.html

 

 

Energy Efficiency and Conservation Block Grants – competitive:
The U.S. Department of Energy is distributing $450 million in competitive grants to local and state government agencies for “Retrofit Ramp-Up” projects targeting community-scale retrofit projects that make significant, long-term impacts on energy use and can serve as national role models for grassroots energy efficiency efforts. The Governor’s Energy Office received a $25 million grant for retrofit projects in Boulder, Denver and Garfield counties. The project includes Xcel Energy as a partner. Contact: Ms. Angie Fyfe, 303-866-2059, angie.fyfe@state.co.us

 

Consumer Energy Tax Incentives:
Colorado residents have access to tax incentives to make their homes and vehicles more energy efficient.

  • Home Energy Efficiency Improvement Tax Credits -- This program is run through the Energy Star program, a joint venture of the Department of Energy and Environmental Protection Agency. Colorado consumers are expected to receive $4.5 million in Energy Star appliance rebates. Consumers who purchase and install specific products, such as energy-efficient windows, insulation, doors, roofs, and heating and cooling equipment in existing homes can receive a tax credit for 30% of the cost, up to $1,500, for improvements. The Governor’s Energy Office launched the program on April 19, 2010 and more than 25,000 people signed up in the first week.
  • Residential Renewable Energy Tax Credits -- Consumers who install solar energy systems (including solar water heating and solar electric systems), small wind systems, geothermal heat pumps, and residential fuel cell and microturbine systems can receive a 30% tax credit for systems placed in service before December 31, 2016; the previous tax credit cap doesn’t apply.
  • Automobile Tax Credits – Hybrid gas electric and alternative fuel vehicles, plug-in electric vehicles, and plug-in hybrid conversion kits qualify for tax credits. Qualifying purchase dates and credit amounts vary. See the link below for more information.
Homeowners must apply for the tax credit when they file income taxes. The IRS will determine final tax credit amounts. For more information: http://www.energy.gov/recovery/taxbreaks.htm

 

Wind Technology grant:
The Northeast Colorado Wind project in Phillips County won a $2.5 million grant to build a community-owned 30-megawatt project with the goal of building a 650-megawatt wind farm in Sedgwick, Phillips and Logan counties.
 

Low-Income Weatherization Program:
The Governor’s Energy Office is coordinating the dispersal of $79.5 million over three years for low-income residents to improve the energy efficiency of homes by replacing energy consuming appliances, weather stripping and insulation. To be eligible, a person’s income must be up to 200 percent of the poverty level. Priority is given to the elderly, persons with disabilities, families with children, high energy users, and households with high-energy burdens. The grant is up to $6,500 per home. More than 10,000 homes are expected to receive improvements each year through this program. The program includes funds to train contractors for the work. All funds must be spent by March 31, 2012.

 

Contact: Brittany Purdum, Governor's Energy Office, 303-866-2401; Seth Portner, Governor's Energy Office, 303-866-2100 seth.portner@state.co.us

 

Energy Saving Tax Incentives and Grants for Businesses:
The bill includes a three-year extension of the popular federal production tax credit (PTC) for electricity derived from wind (through 2012) and for electricity derived from biomass, geothermal, hydropower, landfill gas, waste-to-energy, and marine facilities (through 2013). Many renewable energy companies in Colorado use this tax credit to build renewable energy production facilities. There also is a new federal manufacturing tax credit for investment in advanced energy facilities, such as facilities that manufacture components for the production of renewable energy, advanced battery technology, and other innovative next-generation green technologies. Six Colorado clean-tech companies won $75 million in tax credits. They include: Abound Solar in Longmont ($12.6 million), Advanced Energy Industries in Fort Collins ($1.2 million), Coolerado Corporation in Denver ($750,000), Reflec Tech in Arvada ($750,000), Hexcel Corp. in Windsor ($8.1 million), Vestas Blades America Inc. in Brighton ($30.2 million), Vestas Towers America Inc. in Pueblo ($21.6 million).

For more information: http://www.energy.gov/recovery/index.htm

 

Alternative Fuel Vehicles Pilot Program:
Competitive grants from the Department of Energy through the Clean Cities Program to help state and local agencies purchase alternative fueled vehicles or ultra-low sulphur diesel vehicles and the infrastructure and maintenance needed for these fleets. About $300 million is available nationally.

 

 

Electric Transportation
The U.S. Department of Energy is distributing $400 million in competitive grants for electric transportation projects. The grants are targeted to end-users and manufacturers and federal guidance is pending.

 

Geothermal Technologies Program:
The U.S. Dept. of Energy is distributing $400 million nationwide in competitive grants to state and local governments for research and development that emphasizes advancement of geothermal systems. In late October 2009, four Colorado companies, three state institutions and the Denver Museum of Nature and Science received $18 million for geothermal projects. The winners include Flint Geothermal LLC in Denver ($4.78 million); Composite Technology Development Inc. in Lafayette ($557,150); Colorado School of Mines ($2.29 million in three grants); Power Environmental and Energy Research Institute in Narthrop, Chaffee County ($1.84 million); Composite Technology Development Inc. of Layafette ($954,546); William Lettis & Associates of Denver and Virginia ($708,000); Co. Department of Personnel and Administration ($4.6 million); Colorado Northwestern Community College ($430,000); Denver Museum of Nature and Science ($2.61 million).

 

Fossil Energy Research:
This is a competitive grant program through the Department of Energy for fossil energy research and development programs. This includes carbon capture and energy efficiency improvement projects, clean coal initiatives, and geologic sequestration training and research grants. A total of $3.4 billion is available nationwide. The Governor’s Energy Office is coordinating applications for these grants. Contact: David Abercrombie, David.Abercrombie@hq.doe.gov; http://www.fossil.energy.gov/aboutus/budget/stimulus.html

 

Wood to Energy:
The U.S. Forest Service distributed grants through a competitive process across the country for projects that would develop biomass and wood to energy projects. Four $250,000 grants were awarded in Colorado to: Confluence Energy in Kremmling, Noresco LLC in Florence, Colorado Springs Utilities and Boulder County Parks.

 

Biomass Technology Grants:
Competitive grants distributed by the Department of Energy for research, development and deployment of biomass technologies, including feedstock development, biofuels and bio-based products. .. Rentech Inc. has won a $22 million grant to install a gassifier at its plant in Commerce City that will convert biowaste into synthetic jet fuel. For more information: http://www.eere.energy.gov/recovery/

 

Advanced Battery Manufacturing Grants:
$2 billion available nationally in competitive grants for the manufacturing of advanced batteries and components for vehicles, including advanced lithium ion batteries and hybrid electric systems.  In August 2009, the U.S. Department of Energy announced awards, including $45.1 million to Frederick-based UQM Technologies and $5 million to Colorado State University.

 

Advanced Research Energy Projects Research:
Grants will be distributed to research foundations, private businesses and institutions of higher education by the Department of Energy’s Advanced Research Projects Agency (ARPA-E) to develop and deploy energy-related technologies. Approximately $400 million is available. In October 2009, the DOE awarded grants to two Colorado companies: Foro Energy, Inc. ($9.1 million) and ITN Energy Systems, Inc. (MAG Industrial Automation Systems, EPRI, and Colorado School of Mines - $4.98 million). In April 2010, the DOE awarded two grants to Colorado organizations: $6 million to OPX Biotechnologies Inc. in Boulder (which includes NREL) and $3.1 million to the University of Colorado – Boulder.
For more information: http://arpa-e.energy.gov/index.html

 

Electricity Delivery and Energy Reliability:
This program, funded at $4.5 billion nationally, funds research and development in pilot projects for modernizing the electricity grid.

  • Local Energy Assurance Planning (LEAP) Grants – Colorado has received $653,209 to improve state emergency preparedness plans and ensure quick recovery and restoration from any energy supply disruptions. The award will also help states address cyber security concerns and prepare for the challenges of integrating smart grid technologies and renewable energy sources into the transmission network. In February 2010, six cities – Aspen, Aurora, Denver, Durango, Lakewood and Wheat Ridge – won grants ranging from $210,040 and $59,193 for their own energy assurance plans.
  • Smart Grid Investment Program -- The City of Fort Collins will receive $4,841,647 in Recovery Act funds from the U.S. Department of Energy for a smart-grid demonstration project that aims to reduce peak load electricity demand by at least 15 percent at distribution feeders and allow for expanded use of energy from renewable sources.
  • Smart Grid Workforce Training – In April 2010, the U.S. Department of Energy awarded the University of Colorado – Boulder $2.4 million to build a smart grid workforce training program.
  • State Electricity Regulatory Assistance Grants -- The Public Utilities Commission of the state of Colorado has received $875,899. $46 million is available nationally.
Contact: Brittany Purdum, Governor's Energy Office, 303-866-2401; Seth Portner, Governor's Energy Office, 303-866-2100 seth.portner@state.co.us

 

Resources:

The U.S. Department of Energy is handling many of the grants listed above. Their website is
www.energy.gov/recovery

There also is a toll-free number for the DOE Recovery Act Clearinghouse: 1-888-DOE-RCVY (1-888-363-7289), open Monday to Friday 9 a.m. to 7 p.m. Eastern Standard Time.