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Tri-State Generation and Transmission Association will conduct a wide-ranging energy-efficiency study as part of a settlement announced Friday with Environment Colorado, a green-energy advocacy group.

In return, Environment Colorado agreed to withdraw its legal challenge to Tri-State’s application to change the use of 20,000 acre-feet of agricultural water to industry use as part of its plan to build a power plant in southeastern Colorado.

Tri-State, the state’s second- largest utility, said it will collaborate with Environment Colorado on the study, to be completed by next February. The study will assess the potential for efficient electricity use, including an analysis of ways Tri-State can further shave demand.

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