Colorado

CO

HB 26-1007 — Improve Customer Use of Distributed Energy Resources

Permitted
Current Status
Last verified: May 7, 2026

Legislative Status

Signed into law by Governor Jared Polis on May 7, 2026. Colorado becomes the 4th US state to explicitly legalize plug-in solar. Passed both chambers with bipartisan support — House 48-16, Senate concurrence April 14, 2026. Provisions take effect January 1, 2027.

Sponsored by: Rep. Lesley Smith, Rep. Rebekah Stewart, Sen. Cathy Kipp, Sen. Matt Ball

Legislation Progress

Enacted — Signed into Law

100%

pipeline complete

Introduced
In Committee
Passed Committee
One Chamber
Both Chambers
Gov. Desk
Enacted

Expected Timeline

Signed May 7, 2026. Provisions take effect January 1, 2027. Meter collar provisions also included.

Colorado Solar Data

Avg. Electricity Rate14.8¢/kWh
TOU Peak Spread
6¢/kWh
Est. Annual Savings
~$215/yr
Last UpdatedMay 7, 2026
Calculate CO Savings
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Key Provisions

Allows plug-in solar systems up to 1,920W — the highest limit of any US plug-in solar law. Prohibits utilities from requiring approval before installation. Prohibits HOAs from banning qualifying systems. Also covers meter-collar adapters. Effective January 1, 2027.

Effective DateAugust 12, 2026 (if the GA adjourns sine die on May 13, 2026, unless otherwise specified)
Wattage Limit1,920W AC output (for portable-scale solar generation devices)
UL 3700Required
PermitNot addressed directly for portable-scale solar devices, but installation must be in accordance with fire code requirements and applicable local building codes that pertain to health and safety. Devices with power output not more than 391W are exempt from solar photovoltaic installation requirements and building safety code provisions requiring electrical wiring alterations.
Utility ApprovalUtility approval is not required for installation or use of portable-scale solar generation devices. However, utilities may require notification of the device's presence and size in kilowatts. Utilities must allow for customer ownership and use of meter collar adapters.
UL 3700 DetailsRequired (for devices over 391W, and meter collar adapters must be approved by a nationally recognized testing laboratory and certified for compliance with UL 414)
HOA / DeedHOA restrictions that unreasonably prohibit or restrict the installation, use, or operation of a portable-scale solar generation device are unenforceable and void. HOAs may require reasonable restrictions related to fire/electrical safety, damage prevention, and device location. Owners may be required to reasonably secure the device to their unit or limited common element patio, deck, or balcony.
RentersThe bill aims to expand access to solar for renters and apartment dwellers. Renters can install portable-scale solar generation devices, and the law prohibits unreasonable restrictions on their use.
Net MeteringThe bill aims to improve customer use of distributed energy resources, and meter collar adapters are intended to simplify solar interconnection. The bill prohibits utilities from requiring a production meter as a condition of interconnection for a customer-sited distributed energy resource that has a power output of no more than 10 kilowatts, implying net metering is supported.
What Makes This State Unique

Colorado's law sets a relatively high wattage limit of 1,920W for portable-scale solar devices compared to other states. It explicitly addresses HOA restrictions, making unreasonable prohibitions unenforceable. The law also mandates that utilities revise interconnection rules to allow for meter collar adapters, broadening access for customers.

Notable Gaps

The law does not explicitly waive electrical permits for all plug-in solar systems, though it exempts smaller systems (under 391W) from certain installation and wiring alteration requirements. It also doesn't explicitly mention specific net metering rates or compensation mechanisms for excess generation from portable-scale devices.

What This Means for You

What You Can Do

Install systems up to 1,920W without utility approval or permits. HOAs and landlords cannot prohibit qualifying systems. Renters may install after notifying their landlord. Meter collars must be allowed by all utilities. Rules effective January 1, 2027.

Current Limitations

Law takes effect January 1, 2027 — not yet in force. Until then, plug-in solar operates in a regulatory gray area. Certified UL 3700 systems above 391W are not yet widely available; consumers should wait for UL-listed products.

Official Bill Reference

Enacted — Signed by Governor Polis on May 7, 2026 (effective January 1, 2027)
View Full Bill Text — HB 26-1007

Opens official state legislature website in a new tab.

Colorado State Overview

Key data on solar potential, demographics, utilities, and incentives.

Solar Resource
Peak Sun Hours5.3 hrs/day
Optimal Tilt39°
Best FacingDue South (180°)
Est. Annual Output (800W)1,248 kWh/yr
Best MonthsMay-August

High altitude and clear skies contribute to excellent solar resources.

Major Utilities
Xcel Energy
~1.6 million customers
Net metering
Black Hills Energy
~192,700 residential electric customers
Net metering
Colorado Springs Utilities
~215,799 residential customers
Net metering
CORE Electric Cooperative
~180,000 customers
Net metering

Population
5,877,610
Total Households
2,260,864
Owner-Occupied
1,529,040
Renter-Occupied
731,824
Single-Family Homes
1,489,960
Apartment Units (5+)
434,800
Median Income
$91,241
Median Home Value
$513,100

32% of Colorado households are renter-occupied — approximately 731,824 households that could benefit from plug-in solar without owning their home.

Xcel Energy Solar*Rewards offers performance-based payments (RECs) for solar generation. Income-qualified customers receive $1/W upfront rebate (up to 10 kW). Colorado property tax exemption applies to residential solar under 100 kW. Colorado sales tax exemption applies to solar components. The federal 30% ITC (Section 25D) expired December 31, 2025.

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Governor Jared Polis signed HB 26-1007 into law on May 7, 2026, making Colorado the 4th US state to legalize plug-in solar. With a 1,920W limit — the highest of any US plug-in solar law — Colorado opens the door to larger, more powerful systems than any other state. Provisions take effect January 1, 2027.

News Coverage

Media coverage of plug-in solar developments in Colorado.

Bill to Allow Plug-In Solar Panels Signed Into Law

Colorado House DemocratsMay 7, 2026

Colorado approves balcony solar, but approved units aren't widely available yet

CPR NewsMay 7, 2026

Colorado clears path for plug-in solar, a more affordable option

ColoradoanMay 7, 2026

What's plug-in solar? Colorado legislators promote a bill to help eager consumers find out

Colorado SunFebruary 27, 2026