The organization launched its Power Ahead Colorado program Monday as part of a multi-pronged effort to help reduce greenhouse gas emissions caused by the heating and cooling of homes. The council, or DRCOG, will use the money from a $199.7 million grant awarded by the U.S. Environmental Protection Agency.
The initiative will include $40 million for incentives for heat pumps; no-cost home upgrades for lower-income households; advisers to help homeowners decide if heat pumps are right for them; and money for getting the word out about Power Ahead.
Other funds will go to train workers to install heat pumps and provide resources to cities and counties so they can implement statewide building codes aimed at using electricity rather than fossil fuels for buildings. Critics of phasing out natural gas argue that much of the electricity on the grid comes from natural gas, but proponents say renewable energy is making up a larger share.
Renewable energy made up 43% of Colorado’s in-state electricity net generation in 2024 and natural gas produced about 30%, according to the U.S. Energy Information Administration.
State officials have said buildings are one of the top five sources of greenhouse gas pollution and that Colorado can’t meet its goals for addressing climate change without addressing emissions associated with buildings.
Robert Spotts, Power Ahead Colorado program manager, said efforts are underway to reduce carbon emissions from power generation and transportation. But work on cutting building-related emissions is lagging, he said.
An inventory of area greenhouse-gas emissions conducted for DRCOG showed that roughly 52% of the emissions in 2022 came from buildings — 30% commercial, 22% residential — while 34% came from transportation and 14% from other sources.
“This is an incredibly challenging sector and this was the right opportunity to make some headway and tackle this sector,” Spotts said.
Another impetus for the program was the realization by metro-area communities that the task is bigger than individual cities and counties, he added.
“Really what you’re seeing here has been years in the making in terms of local govts recognizing that to transform the market, we need to tackle this from every angle,” Spotts said.
Tackling emissions, building workforce
DRCOG, which represents nine counties and 50 cities and towns, was one of 25 out of 300 applicants to receive Climate Pollution Reduction Grants through the 2022 Inflation Reduction Act. There were some nerve-racking moments when the incoming Trump administration temporarily froze funds for clean water, pollution reduction and electrification programs.
Power Ahead wasn’t able to access the federal funds right after the 2025 presidential inauguration. “Thankfully, that was short-lived,” said Christine Selk, Power Ahead’s manager of communications and engagement.
At that point, Power Ahead had signed contracts for the program. Selk said the money will go to spur economic development and job creation as well as provide rebates for heat pumps.
“Adams County strongly supports the goals of Power Ahead because buildings are one of the largest sources of climate pollution in our region, and improving energy performance is one of the most cost-effective ways to reduce emissions while also lowering utility bills,” said Amanda Perkins, climate policy and implementation specialist in the county’s Community and Economic Development Department.
Perkins said in an email that training and workforce development around heat pump installation will create local, well-paying jobs and help ensure Adams County has the skilled labor needed to meet the growing demand.
Beside local governments, DRCOG is working with the Colorado Energy Office, Xcel Energy-Colorado, Energy Outreach Colorado and others. Spotts said the heat pump rebates offered by the state, Xcel and metro-area communities can be stacked with the incentives offered by Power Ahead.
A part of the work, Spotts and Selk said, will be to education people about heat pumps. Despite its name, a heat pump both warms and cools a building. Rather than burn fuel to produce heat, it uses electricity to move heat from one place to another.
An air-source heat pump transfers heat from outdoors to inside a house when it’s cold and transfers heat inside to the outdoors to cool a house in hot weather.
Technological advances have made heat pumps a practical solution in areas with subzero weather, according to RMI, a Colorado-based nonprofit that advocates for clean energy. Heat pumps are prevalent in Nordic countries.
Because a heat pump doesn’t burn fuel to generate heat, it eliminates carbon monoxide and the risk of gas leaks in a home, Power Ahead said. A goal is to focus on people in areas disproportionately affected by pollution.
The upfront costs of replacing traditional furnaces and air conditioning with heat pumps have been seen as a barrier. If a home doesn’t have air conditioning, adding the plumbing needed for a heat pump can boost the cost.
But Stephen Hong, owner of Electrify Colorado in Denver, said with the rebates available, replacing a gas-burning furnace with a heat pump should be “a no-brainer.”
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The overwhelming majority of heating and cooling systems Hong installs are heat pumps. He welcomes Power Ahead’s plan to educate the public about heat pumps and train more people to install them.
The DRCOG program is partnering with five workforce centers in the region in hopes of training 4,800-plus new workers so there are more people to do the installations and electrical work. The program will include a hub providing resources for contractors. Consumers will be able to access information about contractors and quotes.
Other initiatives will provide training for younger workers and inmates serving time for low-level crimes and who are finishing their sentences. Spotts said the program will continue its support once people are out of prison to help place them in jobs.
About $6 million in grants is earmarked for innovative approaches to overcoming market barriers. An example is a California business that installs temporary hot water heaters in emergencies to give homeowners time to consider switching to a heat pump water heater.
Although DRCOG is a metro Denver organization, Spotts said the organization wants to be a resource across the state. The program can’t provide rebates outside the Denver area, but Power Ahead can direct people in other areas to the right sources for information and help.
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