---
type: "Bill"
title: "Adopt Programs Reduce Greenhouse Gas Emissions Utilities"
description: "Section 1 of the act defines a \"gas distribution utility\" (GDU) as a gas public utility with more than 90,000 retail customers. The bill requires each GDU to file a clean heat plan (plan) with the public utilities commission (PUC). A plan must demonstrate how the GDU will use clean heat resources to meet clean heat targets (targets) established by the act. The targets are a 4% reduction below 2015 greenhouse gas (GHG) emission levels by 2025 and 22% below 2015 GHG emission levels by 2030.The PUC will initiate a rule-making proceeding by October 1, 2021, to update demand-side management rules. The PUC will establish a cost cap for each GDU's compliance with its plan. The cost cap is 2.5% of annual gas bills for all of a GDU's full-service customers. The PUC is directed to approve a plan if the PUC finds that doing so is in the public interest.A municipal GDU must file a plan with the air quality control commission (AQCC) that demonstrates a 4% GHG emission reduction by 2025 and a 22% GHG emission reduction by 2030, both as compared with 2015 levels. Small GDUs may file a plan, which is subject to the cost cap and must contain its own targets.Section 2 requires the AQCC to initiate a rule-making proceeding by September 1, 2022, to establish protocols for recovered methane that utilities must use in forecasting their emission reductions.Section 3 directs the oil and gas conservation commission (commission) to conduct a study to evaluate the resources that would be needed to ensure the safe and effective regulation of injection wells used for sequestration of GHG.Section 4 makes the following appropriations:$92,482 and 1.0 FTE is appropriated from the public utilities commission fixed utility fund to the department of regulatory agencies for use by the PUC;"
jurisdiction: "us/states/co"
legislature: "Colorado General Assembly"
session: "2021A"
identifier: "SB 21-264"
citation: "Colorado SB 21-264 (2021A)"
classification: ["bill"]
subjects: []
status: "enacted"
primary_sponsors: ["Alex Valdez", "Chris Hansen", "Tracey Bernett"]
version_count: 10
action_count: 15
vote_count: 7
first_action: "2021-05-05T06:00:00+00:00"
last_action: "2021-06-24T06:00:00+00:00"
source: "openstates"
source_identifier: "ocd-bill/a5448e11-7ab5-43be-a158-3ff332f5507f"
source_url: "http://leg.colorado.gov/bills/sb21-264"
source_hash: "f87388ae1bcb812fc5db20ae06de9c48c058bf8d960c88c60ac81704e15bedd1"
vintage: "2026-07-01"
source_snapshot: "https://data.openstates.org/daily/2026-07-01/public.pgdump"
retrieved_at: "2026-07-06"
confidence: "reported"
tags: ["legislation", "bill", "us-co"]
---

# Colorado SB 21-264 (2021A) — Adopt Programs Reduce Greenhouse Gas Emissions Utilities

Section 1 of the act defines a "gas distribution utility" (GDU) as a gas public utility with more than 90,000 retail customers. The bill requires each GDU to file a clean heat plan (plan) with the public utilities commission (PUC). A plan must demonstrate how the GDU will use clean heat resources to meet clean heat targets (targets) established by the act. The targets are a 4% reduction below 2015 greenhouse gas (GHG) emission levels by 2025 and 22% below 2015 GHG emission levels by 2030.The PUC will initiate a rule-making proceeding by October 1, 2021, to update demand-side management rules. The PUC will establish a cost cap for each GDU's compliance with its plan. The cost cap is 2.5% of annual gas bills for all of a GDU's full-service customers. The PUC is directed to approve a plan if the PUC finds that doing so is in the public interest.A municipal GDU must file a plan with the air quality control commission (AQCC) that demonstrates a 4% GHG emission reduction by 2025 and a 22% GHG emission reduction by 2030, both as compared with 2015 levels. Small GDUs may file a plan, which is subject to the cost cap and must contain its own targets.Section 2 requires the AQCC to initiate a rule-making proceeding by September 1, 2022, to establish protocols for recovered methane that utilities must use in forecasting their emission reductions.Section 3 directs the oil and gas conservation commission (commission) to conduct a study to evaluate the resources that would be needed to ensure the safe and effective regulation of injection wells used for sequestration of GHG.Section 4 makes the following appropriations:$92,482 and 1.0 FTE is appropriated from the public utilities commission fixed utility fund to the department of regulatory agencies for use by the PUC;

## Version chain

The bill's text revisions, in order — the diff chain from filing to enrollment.

1. **Committee Amendment** (committee substitute) — [source](http://leg.colorado.gov/sites/default/files/2021a_sb264_h_ene_001.pdf)
2. **Engrossed (06/02/2021)** (committee substitute) — [source](http://leg.colorado.gov/sites/default/files/documents/2021A/bills/2021a_264_eng.pdf)
3. **Final Act (06/15/2021)** (committee substitute) — [source](http://leg.colorado.gov/sites/default/files/documents/2021A/bills/2021a_264_enr.pdf)
4. **Introduced (05/05/2021)** (committee substitute) — [source](http://leg.colorado.gov/sites/default/files/documents/2021A/bills/2021a_264_01.pdf)
5. **PA1 (05/27/2021)** (committee substitute) — [source](http://leg.colorado.gov/sites/default/files/documents/2021A/bills/2021a_264stra_01.pdf)
6. **PA2 (06/07/2021)** (committee substitute) — [source](http://leg.colorado.gov/sites/default/files/documents/2021A/bills/2021a_264app_01.pdf)
7. **Reengrossed (06/03/2021)** (committee substitute) — [source](http://leg.colorado.gov/sites/default/files/documents/2021A/bills/2021a_264_ren.pdf)
8. **Rerevised (06/08/2021)** (committee substitute) — [source](http://leg.colorado.gov/sites/default/files/documents/2021A/bills/2021a_264_rer.pdf)
9. **Revised (06/07/2021)** (committee substitute) — [source](http://leg.colorado.gov/sites/default/files/documents/2021A/bills/2021a_264_rev.pdf)
10. **Signed Act (06/24/2021)** (committee substitute) — [source](http://leg.colorado.gov/sites/default/files/2021a_264_signed.pdf)

## Votes

- REPASS — **21–13** (pass) · upper
- BILL — **21–13** (pass) · upper
- AMD — **24–40** (fail) · lower
- AMEND — **34–0** (pass) · upper
- BILL — **41–24** (pass) · lower
- AMD — **24–40** (fail) · lower
- CONCUR — **21–13** (pass) · upper

## Sponsors

- Alex Valdez — primary (person)
- Chris Hansen — primary (person)
- Tracey Bernett — primary (person)

## Timeline

The legislative action history — every referral, reading, and vote.

- **2021-06-24T06:00:00+00:00** Governor Signed `executive-signature`
- **2021-06-15T06:00:00+00:00** Sent to the Governor `executive-receipt`
- **2021-06-15T06:00:00+00:00** Signed by the Speaker of the House
- **2021-06-15T06:00:00+00:00** Signed by the President of the Senate
- **2021-06-08T06:00:00+00:00** Senate Considered House Amendments - Result was to Concur - Repass
- **2021-06-08T06:00:00+00:00** House Third Reading Passed - No Amendments `passage, reading-3`
- **2021-06-07T06:00:00+00:00** House Second Reading Special Order - Passed with Amendments - Committee, Floor
- **2021-06-07T06:00:00+00:00** House Committee on Appropriations Refer Amended to House Committee of the Whole `committee-passage, referral-committee`
- **2021-06-07T06:00:00+00:00** House Committee on Energy & Environment Refer Amended to Appropriations `referral-committee`
- **2021-06-04T06:00:00+00:00** Introduced In House - Assigned to Energy & Environment `introduction`
- **2021-06-03T06:00:00+00:00** Senate Third Reading Passed with Amendments - Floor `passage, reading-3`
- **2021-06-02T06:00:00+00:00** Senate Second Reading Special Order - Passed with Amendments - Committee, Floor
- **2021-06-01T06:00:00+00:00** Senate Committee on Appropriations Refer Unamended to Senate Committee of the Whole `committee-passage, referral-committee`
- **2021-05-26T06:00:00+00:00** Senate Committee on Transportation & Energy Refer Amended to Appropriations `referral-committee`
- **2021-05-05T06:00:00+00:00** Introduced In Senate - Assigned to Transportation & Energy `introduction`

## Source

OpenStates / OpenCivicData bulk snapshot [2026-07-01](https://data.openstates.org/daily/2026-07-01/public.pgdump); origin `ocd-bill/a5448e11-7ab5-43be-a158-3ff332f5507f`. Confidence: reported (aggregated from official Colorado legislature records).