COLORADO SPRINGS — Solar customers with Colorado Springs Utilities could see their monthly bills increase by $50, potentially matching what non-solar customers pay, under a proposed rate change that has left many questioning their investment in renewable energy.
Art Wickberg first installed solar panels at his home in 2012, believing it would be a smart long-term economic decision. Now he's among just over 9,000 Springs residents utilizing solar power who feel their choice has been made obsolete.
"We're actually a small percentage that's trying to help the community and save a little money," Wickberg said.
He was surprised to learn his monthly energy bill might increase significantly under the proposed changes.
"We're still producing a lot of energy. Why am I paying for something I am producing?" Wickberg said.
Utility company cites cost-shifting concerns
Calculations done by Colorado Springs Utilities revealed non-solar customers are covering on average $600 annually for solar customers. The utility says the issue stems from timing mismatches between energy production and consumption.
Most utility customers use energy from 5 to 9 p.m., while solar produces the most energy when utilities cost the lowest — in the middle of the day.
"The energy that we're delivering is just so much more expensive in that 5 to 9 period of time when their solar panels are starting to come off that we needed to look at the overall costs and adjust those to make sure that the solar customers are paying for their fair share of the energy," said Tristan Gearhart, CFO at Colorado Springs Utilities.
Utilities adds that one way customers can reduce their bills is by shifting their energy usage away from the 5 to 9 p.m. time block.
Solar customers push back on proposed changes
Wickberg questions whether solar customers are being unfairly targeted.
"I wonder whether we're an easy target, that there's not enough of us to fight back on," he said.
At Tuesday's city council meeting, Councilwoman Nancy Henjum said the rate hike feels rushed.
"Instead of penalizing these good faith partners, CSU should be building trust, honoring commitments, and pursue fair and transparent forward-looking policies," Henjum said.
When asked about communication between Colorado Springs Utilities and solar customers, Wickberg expressed frustration.
"This almost seems like a last minute drop,” he said.
What's next
A rate case hearing is scheduled with city council for Oct. 14. The public is invited to provide input at the hearing.
In the meantime, Wickberg and others hope utilities might hold a public forum to educate solar customers about the proposed changes.
If passed by city council, the increased rate would go into effect Jan. 1, 2027.
