By Xcel Energy is seeking to extend operations at an aging coal-fired power plant in Pueblo for another 15 months, to avoid potential electricity shortages.
Colorado’s largest utility recently asked the state’s Public Utilities Commission to keep Comanche 2 open until March 2028, and speed up a host of other fossil-fuel projects and energy purchases.
The company wants customers to foot the roughly $77 million bill for those projects, and tens of millions in additional spending to extend operations at Comanche 2.
The plant, now in its sixth decade, was originally slated to shutter in December 2025. But last November, Gov. Jared Polis’s administration and Xcel intervened to keep it open for another year, until December 2026.
At the time, they argued that keeping Comanche 2 running would shore up the state’s electricity supply in the short-term, especially during times of peak demand, like summertime.
Now Comanche 2 may get yet another reprieve. Xcel officials said it needs to keep the plant open to cover anticipated growing electricity demand into 2028.
Xcel is experiencing more strain on the electricity grid, as it gains more customers who increasingly use electric vehicles and heat pumps.
But it’s also seen a supply crunch. Several power projects it was counting on to juice the grid have outright failed or been severely delayed because of supply chain issues or increasing costs, according to the company.
The proposed plan “is imperative to ensure the Company has a reliable electric generating system for the next 18-24 months,” according to a legal filing by an Xcel official.
Some of Xcel’s expected power shortage is also the result of a new formula it’s using to calculate peak electricity needs. It better accounts for outages at power plants, which decrease power supply. That has resulted in the company ratcheting up its estimate of how much power it may need, at least on paper.
But some of its expected shortfall may be the result of company operations. A major reason for originally keeping Comanche 2 open is because of sustained, persistent failures at Xcel’s sister plant next door: Comanche 3.
Despite being Colorado’s newest coal-fired power plant, Comanche 3 has become somewhat of a lemon. It’s been offline since last August, and is still undergoing repairs.
It’s still unclear what exactly caused Comanche 3’s most recent failure and whether it’s Xcel’s fault.
Xcel fully redacted a report on the plant’s failure that it released on Monday. The company insists that it was operating Comanche 3 correctly, though that has been questioned by environmental groups and utility commission experts.
The plan also comes as Xcel, environmental groups and consumer advocates are still sparring over a major electricity price hike, which could go into effect later this summer.
