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PUC Investigates Xcel Energy for Increased Outages and Customer Service Problems

Energy and Utility

Business Honor
02 May, 2025

PUC investigation reveals rising Xcel Energy outages, $6.5M fines and growing customer complaints.

A Colorado Public Utilities Commission investigation found that Xcel Energy customers are spending greater time without power. The state's power firms are subject to PUC regulation. According to the PUC, Xcel Energy paid $6.5 million in penalties based on 2024 statistics which is greater than the total amount paid in 2021 to 2023. The probe was focused on customers, according to Public Utilities Commissioner Erin O'Neill.

O'Neill approved that staff also shares the concern that the customer-facing aspects of service quality are being overlooked. The Public Utilities Commission convened to examine how Xcel Energy customers fared during 2024's electrical outages in comparison to previous years. Blank specified that the company operates as a regulated monopoly within a legally designated service area where competition is not allowed and in exchange for that privilege, it should not be prioritizing profit increases at the expense of customers.

In a statement, Xcel Energy said it has been working to improve its infrastructure in recent months by testing feeder performance, replacing cables, evaluating substations and taking other measures to address ongoing issues. After CBS News Colorado and other media outlets reported on neighborhoods that were frequently without power, the inquiry began in September of last year.

The analysis found that the average number of outage minutes during the first few days of each month last year was the greatest since 2015. The quantity of customer complaints regarding calls and bills was also examined by the PUC. The PUC evaluated this probe on Wednesday, but it was distinct from the outage investigation. Over the past two years, the PUC discovered that complaints about sales and service have surged by over 98%. According to the PUC, layoffs may be the cause of that. According to the audit, Xcel Energy's 2024 contact center spending was 5% less than its 2020 budget.