Mandatory Photovoltaic System Cost Estimate

December 19, 2020


At the request of a customer or a potential customer, Colorado electric utilities are required to conduct a cost comparison of a photovoltaic (PV) system to any proposed distribution line extension if the customer or potential customer provides the utility with load data (estimated monthly kilowatt-hour usage) requested by the utility to conduct the comparison, and if the customer's or potential customer's peak demand is estimated to be less than 25 kilowatts (kW). In performing the comparison analysis, the utility must consider line-extension distance, overhead or underground construction, terrain, other variable construction costs, and the probability of additions to the line extension during the life of the open extension period.

If the customer has a ratio of estimated monthly kilowatt-hour (kWh) usage to line extension mileage that is less than or equal to 1,000, the utility must provide the comparison at no cost. If the ratio is greater than 1,000, the customer who requests a cost comparison must pay for it.

Program Overview

Implementing Sector: State
Category: Regulatory Policy
State: Colorado
Incentive Type: Line Extension Analysis
Web Site:
Start Date:
Eligible Renewable/Other Technologies:
  • Solar Photovoltaics
Availability: Customer's or potential customer's peak demand must be estimated to be under 25 kW
Service: Cost-benefit analysis


Name: 4 CCR 723-3-3210


Name: Section Chief
Organization: Colorado Public Utilities Commission
Address: 1560 Broadway, Suite 250
Denver CO 80202
Phone: (303) 894-2000

This information is sourced from DSIRE; the most comprehensive source of information on incentives and policies that support renewables and energy efficiency in the United States. Established in 1995, DSIRE is operated by the N.C. Clean Energy Technology Center at N.C. State University.