Colorado’s electricity sector is on the brink of rapid transformation. Driven by policy and propelled by new technologies and innovations, a large expansion to electricity generation is set to significantly reshape how much electricity Coloradans use, where their power comes from and, ultimately, how much they pay.

A recent report from the Colorado Energy Office (CEO), titled Pathways to Deep Decarbonization in Colorado’s Electric Sector by 2040 (referred to as the Pathways Report), estimates that achieving the state’s emission reduction goals will cost $108 billion through 2050. This figure reflects the investment required to more than triple Colorado’s electric generation and storage capacity—from 21,816 megawatts to 67,256 megawatts. Meeting these capacity goals will require adding 55,068 megawatts of new generation capacity (45% in storage and 41% in wind and solar) and retiring 8,669 megawatts of existing capacity (49% in natural gas and 48% in coal). The Pathways Report also explores six alternative scenarios aimed at achieving 100% carbon emission reduction. These scenarios carry additional costs, ranging from 20% to 42% above the baseline estimates, varying based upon the type of electricity resources being prioritized. Importantly, the report’s cost estimates do not include those of additional investments needed to expand transmission and distribution infrastructure.

Read the original research here.