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AIColorado Solarby Discovery Clean Energy

Commercial Solar · Denver

Commercial Solar in Denver: Energize Denver & 2027 Deadline

For a Denver business, commercial solar is now a deadline question as much as a savings question: under current federal rules, a project that didn’t begin construction by July 4, 2026 generally has to be placed in service by December 31, 2027 to claim the §48E credit. Larger Denver buildings also face Energize Denver performance requirements, where on-site solar is one compliance path.

Updated September 2026
01

Energize Denver and your building

Denver’s building performance policy requires buildings of 25,000 square feet and larger to benchmark energy use and meet efficiency targets, and the city publishes separate guidance for buildings from 5,000 to 24,999 square feet. On-site solar is among the recognized ways to meet requirements. Check the city’s Energize Denver pages for your building’s specific obligations; we can help you model what share solar could cover.

02

Timing the federal credit

Commercial solar can still claim §48E, but the window is closing: projects that didn’t begin construction by July 4, 2026 generally must be placed in service by the end of 2027. A 2025 IRS safe-harbor notice was vacated by a federal court in June 2026, and its appeal status is unresolved, so talk to your tax advisor before relying on any start-of-construction position.

100% bonus depreciation has been restored for qualifying property. How it applies to your business is a question for your CPA.

03

Demand charges on Xcel commercial rates

Many Denver commercial bills include demand charges based on your highest usage interval. Solar alone often doesn’t reduce demand much, since a cloudy afternoon can erase the benefit; pairing it with storage for peak shaving is where the demand line moves. We model both from your interval data.

FAQ

Questions we hear

Does solar count toward Energize Denver compliance?

On-site solar is one of the paths the city recognizes. The details depend on your building size and category, so confirm with the city’s Energize Denver guidance or help desk.

What’s the federal deadline for commercial solar in Denver?

Under current rules, projects that didn’t start construction by July 4, 2026 generally must be placed in service by December 31, 2027 for §48E. Storage has a longer runway through 2033.

Can a Denver flat-roof building hold solar?

Usually, with ballasted or attached racking designed for the roof’s structure and wind exposure. Roof age matters most; we assess it first and can reroof in the same project.

Will solar lower my Xcel demand charges?

Only somewhat on its own. Storage sized for peak shaving is what reliably lowers the demand line.

Get honest numbers for your roof

Our Colorado crew looks up your utility’s current rules, models your roof, and tells you straight — including when solar or a battery won’t pay off.

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