If the settlement passes state regulators – Xcel energy has scoped with the help of multiple parties, a $23.4M Micro-grid development plan.
The build outs in Colorado will add much needed resilience in the grid for the airport, schools and other public/community areas. The expected size of the system is an estimated 6 MW/15 MWh.
The concern with these developments is that while it will in fact provide much needed resilience people and companies are not yet OK paying a premium for the new infrastructure. Yielding a discussion of how Xcel can rate base the investment they are making into ESS and Solar for each of these properties.
At some point the market will need to be tuned to paying a premium for a higher quality service. We pay more for Verizon/AT&T for better coverage and network capacity, the same is likely going to have to happen for electricity.
Xcel Energy 7 proposed microgrids
- Denver International Airport Automated Guideway Transit System, $5.5 million
- National Western Center, $5.5 million
- Denver Rescue Mission’s Lawrence Street Community Center, $1.4 million
- City of Arvada Center for the Arts and Humanities, $4.1 million
- Town of Nederland Community Center, $2.2 million
- Summit County Middle School, $2.5 million
- Alamosa Family Recreation Center $2.2 million