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Development of Thermal Energy Resources

Concerning the development of thermal energy resources.

SB26-142 2026 Regular Session Signed into Law Business & Economic Development Energy Local Government

Cost estimates

At the first note read
$0
FACT April 8, 2026
At the last note read
$0
FACT August 24, 2026
What it actually cost
not published
No Colorado source reports spending for one bill

Every figure here is an estimate by Legislative Council Staff on the date shown, about the version of the bill in front of them that day. It is not a cost.

The appropriation

The note states no appropriation is required.

An appropriation is money the legislature sets aside. It is not money spent.

The appropriation field, read from the note: No appropriation is required.

Bill summary

     The act authorizes a local government or a special district (local government) to enter into an agreement with one or more entities for the purpose of providing the local government with service from a thermal energy network. A local government that is authorized by law to issue bonds may issue bonds for the purpose of financing thermal energy infrastructure, interconnections, or customer connections within the jurisdiction of the local government.

     The act increases the net electric generating capacity of a community geothermal garden from 5 megawatts to 25 megawatts.

     The act requires the Colorado energy and carbon management commission (commission) and the Colorado geological survey to collect data and information related to geological resources in the state. The commission shall make recommendations to encourage safe and effective development of geothermal resources and report those recommendations to the general assembly on or before November 15, 2026.

     The act requires investor-owned electric utilities (utilities) to identify small-scale geothermal projects and large-scale geothermal projects (geothermal projects). The utility must solicit proposals for the development of small-scale geothermal projects of up to 25 megawatts of net electric generating capacity and large-scale geothermal projects that are greater than 25 megawatts of net electric generating capacity. The utility shall submit applications for the development of the geothermal projects to the public utilities commission if the utility receives a bid in response to the request for proposals. The public utilities commission must review the application and approve, conditionally approve, deny, or modify the application within 120 days after receiving the application.

FACT Bill summary by Colorado Legislative Council Staff, read 2026-09-23. Printed as published, word for word. Source: leg.colorado.gov (opens in a new tab)