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,I. I I I I I I I I I I I I I I I I I I '-- STONE & WEBSTER Management Consultants, Inc. 5555 Greenwood Plaza Boulevard Englewood, CO 80111-2113 P.O. Box 5406 Denver, CO 80217 303-741-7900 December 5, 1988 Mr. Uli Kappus, P.E., Executive Director Colorado Water Resources and Power Development Authority Logan Tower Bldg. 1580 Logan Street, Suite 620 Denver, CO 80203 Dear Mr. Kappus: We are pleased to submit this report for the Colorado Joint Planning Study of the Economic Potential of Pumped Storage. The report presents an assessment of whether pumped storage facilities are economically attractive to Colorado utilities compared to other types of electrical power generation. More specifically, the report presents the following: 1. The amount of additional pumped storage capacity in Colorado that might economically displace alternative forms of power generation over the next 20 years. 2. The investment cost per kilowatt of installed capacity at which pumped storage might economically begin to replace other forms of power generation, and 3. The potential timing of the pumped storage additions based on the load forecasts provided by the utilities. This study was conducted with a statewide perspective. Conditions vary considerably throughout the state and each Technical Steering Committee representative had different concerns reflecting those conditions. Moreover, each utility has its own resource planning responsibilities and. in many cases, has conducted its own studies independent of this study. The willingness of the TSC representatives to work together in preparing this preliminary joint planning effort is appreciated. Given the broad nature of this study, it should be considered supplemental to any analyses prepared by the individual participants. It should not be considered a substitute for those analyses.