Gov. Polis Signs Bill Countering Expensive Federal Coal Plant Orders

Denver, CO - On Thursday Governor Polis signed into law HB26-1226 (Manage Emissions from Electric Generating Units), which requires more transparency on the costs incurred from running coal units past their retirement dates, directs the Public Utilities Commission (PUC) to approve new resources to help the state reach its 2030 climate targets, and requires modern pollution controls for any coal plants operating after 2033. As the Trump Administration continues to issue 202(c) orders around the country which require coal plants to stay operational beyond their scheduled retirement dates, the new law provides the state with needed and common sense solutions to resist the federal government's overreach. 

"We are grateful to Rep. Wilford, Rep. Froelich, Sen. Cutter, and Sen. Weissman for sponsoring this important piece of legislation and to Colorado lawmakers for capitalizing on a clear opportunity for the state to push back on the Trump administration’s overreach in Colorado’s energy future," said Margaret Kran-Annexstein, Director of Colorado Sierra Club. "Colorado is creating a path for just transition that supports coal communities and local workers while reducing climate and air pollution. These orders are disruptive to those goals, but are not powerless to plan and resist the Trump administration. With Gov. Polis' signature, we are affirming that Colorado stands strong in its climate goals." 

In the event coal plant retirements are delayed into the 2030s, HB26-1226: 

• Achieves significant reductions in air pollution that harms public health;
• Ensures transparency in the costs to meet federal mandates to keep coal plants online against the will of utilities and State regulators;
• Prevents unnecessary costs of keeping inefficient and expensive coal online to ratepayers;  
• Supports Colorado’s clean energy and climate goals while maintaining reliability. 

“The Trump administration’s attempts to prevent Colorado’s coal plants from retiring as planned will increase costs and pollution for Coloradans,” said Megan Kemp, Colorado Policy Representative at Earthjustice.  “Fortunately, Colorado has stepped up to provide much needed transparency and accountability to counter this federal overreach.”

According to a Sierra Club analysis, the Trump Administration’s 202(c) orders have already cost Americans over $330 million so far, directly affecting ratepayers and the public health of surrounding communities. HB26-1226 keeps the state aligned with its clean energy goals by curbing coal emissions and reinforces critical retirement dates of coal-fired plants in Colorado, while also directing Colorado's Air Quality Control Commission (AQCC) to set limits on pollutants like nitrous oxides and sulfur dioxide. 

"The passage of HB26-1226 will safeguard Coloradans from rising rates due to continued use of expensive and filthy coal plants, reduce harmful pollution emissions especially for Brown communities surrounding those plants, and allow for Colorado to reach its climate targets," said Paul Sherman, Climate Campaign Manager for Conservation Colorado. "When Trump ordered aging, costly coal plants to continue operating, he waged war on Colorado families and communities, our environment, and our path to clean energy. Colorado fought back  by securing new protections for Coloradans energy bills and clean air. This is what state-level leadership looks like when Washington prioritizes profits for coal executives over Coloradans." 

The Craig 1 coal unit was not needed for any "emergency" needs, according to experts and utilities. Following two executive 202c orders, it is unclear how much the coal unit has actually burned and who will pay for the costs of the unnecessary power. Sierra Club, Colorado's Attorney General, and two of Tri-State's owners have all filed lawsuits against Trump's illegal order. 

"We look forward to continuing to work with community members, Tri-State, lawmakers, and other stakeholders to stand up against these illegal federal actions and ensure Colorado’s clean energy progress continues," continued Kran-Annexstein.

In addition, bill sponsors released the following statements: 

"Coal isn't an energy affordability solution, and the Trump administration is only making this problem worse by forcing plants to stay open. As outside forces try to knock Colorado's clean energy transition off course, this law provides the guardrails to keep us rolling," said Rep. Meg Froelich of Colorado's 3rd House District. 

"Coloradans shouldn't be forced to pay for expensive coal plants just because our President and his donors want to defy the clean energy economy's progress. These new protections will help regulators keep coal operators in check and provide more transparency to Coloradans about the impacts of executive orders," said Sen. Mike Weissman of Colorado's 28th Senate District.