Westminster’s current substations are at maximum capacity, causing disruptions in new development, according to Xcel Energy.

Representatives from the energy company met with the Westminster City Council Monday evening to discuss planning for the future of Westminster electricity and ongoing development, with new projects set to increase the city’s electricity capacity.

“Our challenges of catching up to and staying ahead of growth require massive investments,” Tyler Bryant, Xcel area manager for West Metro Denver, told the council. “To keep customer bills affordable, we must carefully prioritize projects and spend our dollars wisely.”

Bryant said that all three of the substation that provide energy to the city are at capacity. These substations are in Federal Heights, Arvada and in the Semper neighborhood of Westminster.

The Colorado Public Utilities Commission (PUC) approved the company’s 2025-2029 Distribution System Plan at the beginning of last year, providing the company with nearly $4.9 billion for infrastructure and distribution system updates.

Part of these projects will involve Westminster and Jefferson County, with the county needing around 12 new substation transformer banks, five new substations, 50 distribution feeders and 31 new capacity projects within the next five years.

A new feeder is currently being built in the city to help reduce power strains. The current feeder only has 2 megawatts available in capacity, akin to one all-electric apartment building, according to Bryant.

The company is also working to purchase land and build the Berkeley Substation around 2030, but the company asked the council to help fast track any approvals needed to expedite the development.

“Today, in the Westminster station area, we find ourselves in the position of planning for growth which came in 2016 when the city invested nearly $80 million following the construction of the RTD (Regional Transportation District) line,” Bryant said, adding that power consumption has increased since COVID with the flux of at-home workers and electric vehicles.

Councilmember Obi Ezeadi raised concerns around the current power limitations halting development in the city.

Ezeadi said many projects have failed in Westminster because the city approves the project and then Xcel can’t provide enough energy, claiming that developers have avoided the city because of the stories about Xcel not being able to provide energy.

He called the relationship between the company and city “tense.”

But the Xcel representatives said they’re working to improve power availability, providing alternate solutions to developers to help reduce power strain like installing batteries on the grids and non-wire alternative programs while substation improvements occur.

On a side note, Ezeadi questioned what the company was going to do about the Public Safety Power Shutoffs (PSPS) that have been occurring in the western part of the metro area over the past year.

Basically, during high-wind weather events, Xcel has been shutting down parts of the grid to prevent downed wires from sparking wildfires — often including parts of Westminster.

Residents and business owners have shared ire about the shutdowns, claiming that the lack of communication and set plans around the PSPSs has led to significant unexpected bills in lost product and perishable food — costs not often covered by business insurance.

“The issue is you shut down many parts of the city,” Ezeadi said. “Were there credits given to those customers?”

Michael Pascucci, regional vice president for Xcel, said that no money has been given to residents for hardships during the shutdowns with no policy in place.

Pascucci added that the PUC will likely discuss it soon during a rulemaking period opening later this spring.

“The problem is we’re coming up on the summer now. If you’re going to expand this now before coming up with a plan, there’s going to be much bigger blowback from the public,” Ezeadi said, noting that the potentially warm summer may cause chaos in the city.

Bryant said the goal is to rebuild the systems in problematic areas, like the foothills and the mountains, as quickly as “humanly possible” to keep customers energized during weather events.

These improvements would be part of the new wildfire mitigation plan, which is currently being drafted.

“The PSPS is a last resort. It’s something we don’t want to use,” Bryant said.

A PSPS is set for the San Luis Valley on Wednesday with hot temperatures and high winds forecasted. The company is monitoring conditions in the Front Range for a possible shutdown on Thursday. It’s not yet said whether Westminster would be part of that area.