Xcel Energy Seeks $356 Million Colorado Rate Hike, Lifting Average Residential Bills About 10%

Overview

• Xcel filed a request with the Colorado Public Utilities Commission to recover roughly $355.5 million in prior spending, projecting a 9.9% increase for typical residential customers as early as late summer 2026.
• The proposal seeks repayment for recent grid work and safety measures and includes recovery of some 2024 excess-liability wildfire insurance costs from a $49 million premium.
• The company plans a $10 million expansion of affordability programs, with easier income self-attestation, a goal to double enrollment, and targeted benefits such as keeping electricity costs near 1.5% of household income for eligible customers.
• Regulators will decide which costs are recoverable and set the allowed return on equity, while the state’s Utility Consumer Advocate has labeled the request too large.
• This case is separate from Xcel’s multibillion-dollar grid initiatives under review, including the $1.7 billion Colorado Power Pathway and a $5 billion Distribution System Plan that could further affect rates through 2029.