Today Pacific Power filed a general rate case, along with its annual power cost forecast, with the Oregon Public Utility Commission. The general rate case, which proposes a 6.6 percent rate adjustment, or $82.2 million, supports continued investments in wildfire mitigation strategies, vegetation management and clean energy resources, while also responding to inflationary impacts. If approved, this would be Pacific Power’s first general rate increase in nearly a decade.
“Through careful stewardship on behalf of our customers, we have delivered safe, reliable, affordable service at prices that are 12 percent below the national average,” said Matt McVee, vice president of regulatory policy and operations. “While our essential operating costs continue to stay low, new factors – including extreme weather events and changing economic conditions impacting all households and businesses – are raising the costs of providing our essential services.”
The company’s annual power cost forecast (Transition Adjustment Mechanism or TAM) is being filed concurrently with the rate case. The initial forecast shows power costs increasing for the first time in five years, if approved. The proposed 5.6 percent increase for rates effective in 2023 is primarily due to inflationary pressures related to increases in wholesale electricity and natural gas commodity prices. The final approved 2023 TAM rate will be updated in November with the most current forecasted prices for wholesale energy and natural gas.
“We are in a period of significant change. We are investing in the safety, adaptability and resilience of our energy grid and building to a net zero emissions energy future,” said McVee. “While we do this, we remain steadfast in our commitment to our customers and our communities and will continue to seek new ways to reduce impacts to customer bills along the way.”
Courtesy of Pacific Power