The Grand Junction Daily Sentinel reported Wednesday that Nucla Station in the town of Nucla was scheduled to close in 2022 under a legal settlement to reduce air pollution.
The owner, Tri-State Generation and Transmission Association, said the 100-megawatt plant had been used intermittently as a backup in recent years.
Tri-State says its Nucla workforce will decommission the plant and a contractor will demolish it.
The plant employs about 35 people. Tri-State says it will provide $500,000 over five years to help Nucla and the nearby town of Naturita deal with the loss of jobs.
Tri-State is based in the Denver suburb of Westminster.