Xcel Energy modified its Solar Rewards program by offering the ability of 3rd Parties to conduct Power Purchasing Agreements (PPA) within the small system category. They also slightly modified the medium system program to include systems that are sized 100.1 - 500kW and offer an increased REC payment of $125 per MWh. These changes took effect September 1st.

The best news for Coloradans looking to go solar, Xcel did not reduce the rebates as it was rumored to do. Although, they may reduce their rebates at anytime in the future.

Link: http://www.bizjournals.com/denver/stories/2009/08/03/story11.html?q=xcel%20energy

According to unknown sources inside Xcel and local industry rumblings, the Xcel Solar Energy rebate may soon be reduced. There’s speculation that this change could come any time between now and November, but the amount of the reduction is unknown.

In early October 2008, Xcel announced a solar rebate reduction of $1 per watt (from $4.50 to $3.50 per watt). The announcement gave the industry about a one month warning - prompting over a thousand solar rebate applications in October, by far a record for Colorado.

This time, Xcel has indicated that there will be no warning - the rebate reduction will take place as soon as it's announced and any new applications after that will be subject to the lower rebate.

If you are interested in solar for your home or business, now is the time to act. This rebate reduction could happen in November, but it could also happen tomorrow morning.

Applying for a solar rebate is free, simply schedule a free consultation with Astralux and we will start your application. Starting an application DOES NOT obligate you to a purchase, it simply reserves a spot for the current rebate rate.

Contact us today to reserve your rebate at today's rates.

It is a unique time for the solar industry here in Colorado. The utility rebates offered by Xcel, Black Hills, and other local energy companies remain among the best in the nation. All the while, the price of solar modules has drastically dropped - due to a large surplus from lower demand in the European markets.

The last time we had news that favored the solar energy consumer here in Colorado was October of last year. That was when it was announced that the Federal Tax Credit for solar energy had been increased to 30% with no cap on the amount you could be credited. This resulted in Xcel suddenly announcing that they were reducing their solar rebate from $4.50 to $3.50 per watt, a reduction of 22%. Xcel Energy reserves the right the reduce the amount of the rebate at ANY time.

With these lower materials cost and fierce cost competition in the local solar industry, solar energy is the cheapest it has ever been here in Colorado - even with the rebate at $3.50 per watt. Due to this new situation, we predict that Xcel will soon move to further reduce the rebate in an effort, much like last October, to level the cost of solar and keep demand at a manageable level.

This reduction could come next week, it could come in several months. The fact remains that these next 2 - 3 months may prove to be the best time ever to invest in solar for your Colorado Home or Business. To reiterate...

1) Solar module prices (the bulk of the cost of a system) have drastically decreased over the past 9 months. However, the past two months has seen prices level out as European demand for solar slowly bounces back.

2) Xcel (for the time being) has held their rebates at $3.50 per watt and Black Hills (Southern Colorado) remains at $4.50 per watt, making them the #1 utility rebate in the US. These rebates will be reduced, it's only a matter of when.

3) Colorado electricity rates have risen faster than any state over the past decade. Xcel has issued rate increases at least once every year since 2002 - making Colorado their #1 revenue source.

4) Colorado is meeting its Renewable Portfolio Standards faster than anticipated - meaning any rebate for solar (especially residential) may not be around for much longer.

The Colorado solar energy market continues to grow, despite the current economic recession. Colorado is on pace to break last year's record of systems sold for both residential and commercial applications - as this industry contiunes to reward solar pioneers with rebates and credits.

Solar and renewable energies will continue to be a driving force in Colorado's economy for decades to come. But for the consumer, solar energy may never be more economical than it is now.

Link: http://www.bizjournals.com/denver/stories/2009/03/16/daily18.html

This comes as no surprise, as this is Xcel's 5th increase in a little over 2 1/2 years.

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Xcel Energy on Monday filed for permission to raise electricity rates in Colorado by 2.6 percent.

The approval has to come from the Colorado Public Utilities Commission. If approved, the higher rate would take effect April 1 and bring in $14.6 million more in the second quarter.

Xcel files with the PUC every quarter an Electric Commodity Adjustment (ECA), which takes into account the costs of fuel used to generate electricity and to purchase energy.

Xcel said that although those prices are down by about 44 percent, the requested increase reflects a $61.5 million shortfall in the previous quarter. The shortfall comes in the utility’s deferred balance.

If the new rate is approved, the average residential customer’s bill would increase by 2.61 percent, or by $1.43 a month, to $56.23. The average small business customer would have a 2.67 percent increase, or $2.33 a month more, to $89.91.