Colorado commission approves up to $225,000 for Denver heating-and-cooling loop design

The approval funds preliminary engineering for a pilot that could initially serve 10 city-owned buildings already on the utility’s steam system.

Colorado
Outdoor industrial cooling equipment with metal pipes and grids.
Outdoor industrial cooling equipment with metal pipes and grids.

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The Colorado Public Utilities Commission approved up to $225,000 for preliminary engineering of a proposed ambient-temperature heating-and-cooling loop in downtown Denver, allowing Public Service Company of Colorado and the city to advance design work but not construction.

The pilot could initially serve 10 Denver-owned buildings that already receive steam service from Public Service, also known as Xcel Energy.

Commissioners approved the phase-one engineering request Oct. 7 in docket 26A-0320ST. The costs will be recovered through the utility’s Steam Cost Adjustment. Staff proposed spreading the costs over 24 months without a carrying charge, during the commission meeting.

Staff estimated the engineering costs would add about $26.94 to an average monthly steam bill. The meeting presentation did not specify when the adjustment could begin appearing on bills.

Staff told commissioners the utility and city would need to submit a future application for construction-related activity and additional project costs. The approval does not authorize construction.