By David A. Hill, Executive Editor

A sobering new report from the Governor’s Energy Office casts doubt on the state’s ability to reduce CO2 emission by 20% from 2005 levels within 10 years - unless older coal-fired power plants are shut down and big financial investments are made in energy efficiency, renewables-driven power plants, energy infrastructure and more.  A 20 percent cut in CO2 was the goal set by Gov. Bill Ritter’s 2007 Climate Action Plan.

An Executive Summary of the 100-page Renewable Energy Development Infrastructure (REDI) Report starts … Colorado’s electricity sector is moving into an era where it must address a relatively new challenge — carbon dioxide (CO2) emission reduction. And in so doing, the sector must continue to emphasize system reliability, the need for infrastructure upgrades, and strate-gic planning to minimize the economic and environmental costs into the future. These, and other, interrelated challenges are the subject of the Colorado Governor’s Energy Office’s (GEO) 100-page Renewable Energy Development Infrastructure (REDI) Report.

Read the summary as we have, and no one can deny this is a realistic and objective document prepared by the very public face of the Ritter Administration’s New Energy Economy. While acknowledging, for example, Colorado’s electricity sector has made notable strides in recent years,  the GEO summary says further steps in that direction must be made to have even a shot at the 20×20 goal.

One of the roadblocks is the likelihood that actual emissions in 2020 will be higher than the goal — unless there is a breakthrough in carbon capture and storage, or a huge amounts of money is spent in Colorado on new transmission lines, renewable energy power plants, and energy conservation efforts.

The report says another partial solution would be for the state to add more cleaner burning natural gas power plants and shutter the older, less efficient coal-fired facilities. It outlines several critical steps which must be taken if the 20 percent cut in CO2 is to be met by 2020;  potential moves fraught with political and economic risks guaranteed to spark more debate.

• “Greatly increasing investment” in energy efficiency and conservation efforts by businesses and consumers.

• “Rapidly increasing investment” in large, utility-scale wind and solar power plants.

• Building large-capacity power lines to carry sun- and wind-generated electricity from Colorado’s remote areas, that have a lot of those resources, to population centers.

• Use natural gas-fired power plants to meet basic power demands as well as support wind and solar power, which isn’t constant because the wind doesn’t always blow and the sun doesn’t always shine.

• Cut the power produced, or simply shut down, the oldest and least efficient coal-fired power plants in the state.

The report cites the need for continual improvements within the electric power industry, but also the need for modifications to regulatory and policy structures., saying the state could benefit from even stronger interstate coordination among the multiple players who plan new generation and transmission.

Despite the gloomy prognosis of not meeting the 2020 emissions goal without a massive capital infusion and the steps outlined above, Governor Ritter opted to focus on the jobs and economic boots of the investments described in the report. In a statement, he said, “Updating and expanding our aging and constrained transmission infrastructure is a critical piece of our New Energy Economy.”

“Investment in transmission means jobs and a major boost to Colorado’s economy, including in rural areas that are home to many of our state’s richest renewable energy resources. Bringing dependable, affordable clean energy — whether solar, wind or natural gas — from where it’s generated to where it’s needed the most will keep Colorado on the leading edge in a world moving fast toward a new energy future,” he said.

A grant from the U.S. Department of Energy report paid for the report. You can view the full report (47 MB) on the GEO site.