Winter Bills Rising? Easy Ways Western Colorado Can Save

It happens to me every December in Grand Junction. I have the heater humming, and I opened last year’s Xcel Energy bill so I can compare it to this year’s bill. Winter forecasts indicate higher electric-heating costs and uneven rates for natural gas, propane, and heating oil.

In Western Colorado, it appears homeowners' and renters' heating costs could sting more than usual this winter. The good news is that there are steps you can take to keep costs down.

How Much Could Winter Bills Rise — And Why

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As Colorado heads into the winter of 2025-2026, the U.S. Energy Information Administration (EIA) says homes that heat primarily with electricity are likely to see a 4% increase in costs this year. If you use natural gas, costs are expected to be more stable than electricity, with only a modest price change. Many expect natural gas bills to stay flat (consistent with last year).

What is changing the costs this winter? Electric price increases stem from rising demand across the country (from data-center growth, electrification efforts, and increased residential usage) and pressure on the grid, which raises costs. With natural gas, stable production and solid inventories in the Mountain West are keeping these costs from rising.

5 Ways Western Colorado Homes Can Offset Higher Winter Bills

Install solar panels (or add a battery) — Solar helps offset electricity usage. Pairing solar with existing electric heating or appliances can cut a big chunk off your bill. In Colorado, state and utility incentives (plus federal tax credits) really reduce your bill.

Take advantage of state rebates via the Home Energy Rebate Program (HEAR): The program offers rebates for insulation, air sealing, and heat-pump upgrades, helping reduce upfront costs for efficiency projects.

Upgrade to a modern heat pump or efficient HVAC system — For homes using electric or older heating systems, switching to a cold-climate heat pump (or higher-efficiency equipment) can lower heating costs. Many Colorado homeowners qualify for rebates.

Improve insulation, seal air leaks, and weatherize: Sealing drafts, insulating attics or basements, and weather-stripping doors/windows are among the most cost-effective ways to reduce heating usage.

Install a programmable or smart thermostat: Smart thermostats help optimize heating schedules (lower when you’re away or sleeping, bump up when home), reducing wasted energy and saving money on heating.

Where to find help: Local Resources & Rebate Programs

• Home Energy Rebate Program (HEAR): Statewide Colorado program for insulation, heat pumps, electrification upgrades, water heaters, panel upgrades, etc.
• Xcel Energy (Colorado): Offers rebates for insulation, air sealing, efficient heat pumps, programmable thermostats, and other efficiency upgrades.
• Local Utilities/Co-ops on the Western Slope: Many participate in statewide or regional rebate/efficiency programs (check your utility’s website).
• Contractors and Installers familiar with Colorado’s rebate landscape — they can help size projects and submit rebate paperwork.
• Local Community Action Agencies / Energy-assistance Nonprofits — for households needing help with upfront costs or eligible for income-based rebates.

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