By Chase Woodruff, Colorado Newsline
State leaders are applauding another major step finalized Wednesday toward permanently protecting upper Colorado River water flows on the Western Slope.
Members of the Colorado Water Conservation Board gave unanimous approval to an agreement between Xcel Energy and the Colorado River District, which manages water supplies for 15 Western Slope counties, to transfer two key water rights associated with the Shoshone Hydroelectric Generating Station to the district for $99 million.
The terms of that deal called for the CWCB, which manages water resources statewide, to approve the Shoshone water rights as “instream flow” rights under a state program created in the 1970s to secure water rights for “nonconsumptive,” environmental uses. The two water rights held by the small hydropower plant date to 1905 and 1940 and add up to over 1,400 cubic feet per second of Colorado River water flows — two factors that would make it the most substantial set of rights ever secured by the instream flow program.
“The importance of today’s vote cannot be overstated as a legacy decision for Colorado water and the Western Slope,” Andy Mueller, general manager of the Colorado River District, said in a statement. “It secures an essential foundation for the health of the Colorado River and the communities it sustains.”
Western Slope counties have worried for years about the consequences for Colorado River flows if the Shoshone plant, which is now nearly 120 years old, were to be bought and shut down. Located just east of Glenwood Springs, the plant has a maximum capacity of 15 megawatts, making it one of the smaller generation assets in Xcel’s portfolio.
But the “seniority” of the power station’s 1905 water right is a powerful tool in shaping regional water use — including how much of the Colorado River is siphoned off by Front Range water utilities through transbasin diversions. While the Colorado River District says its aim is to preserve the river’s historical status quo, utilities including Denver Water have voiced concerns about the effect the deal could have on their more junior water rights.
“Acquiring the Shoshone water rights for instream flow use is a once-in-a-lifetime opportunity to preserve and improve the natural environment of the Colorado River,” said Dan Gibbs, executive director of Colorado Department of Natural Resources. “But I also want to stress that the state is committed to ensuring that the historical use of the water rights is maintained at the status quo and we are committed to participating in any process to settle and resolve these issues for all water users.”
In addition to the go-ahead from the CWCB on Wednesday, the $99 million agreement between Xcel and the Colorado River District in 2023 is contingent on approval by a state water court and the Public Utilities Commission. The Shoshone Water Rights Coalition, made up of local governments supporting the deal, has secured $57 million in funding from its members and from the state, but it needs another $40 million from the U.S. Bureau of Reclamation, which was included in the 2022 Inflation Reduction Act.
“Those funds remain under review by the current administration,” the Colorado River District said in a statement. U.S. Sen. Michael Bennet, in a press release applauding the deal, called on the Trump administration to “heed the bipartisan, statewide support” and release the funding promptly.
“Thousands of Coloradans, our fish, and our wildlife depend on this water every day,” Gov. Jared Polis said in a statement. “This is another step toward finalizing a powerful tool for supporting competing demands — hydropower, environment, agriculture and recreation — while giving west slope water users more certainty about our future water security.”
Colorado Newsline is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. Colorado Newsline maintains editorial independence. Contact Editor Quentin Young for questions: info@coloradonewsline.com.
