Pacific Power Rate Increases Take Effect January 10

Salem, Oregon- The Oregon Public Utility Commission (PUC) has finalized the last of several rate-related filings submitted by PacifiCorp, doing business as Pacific Power. The adjustments, set to take full effect as of January 10, 2024, mark an overall increase in customer rates.

The key driver behind this adjustment is an annual review of power costs, which have seen a notable surge in market volatility. Pacific Power’s rate filings further contributed to the changes, with some rates increasing and others decreasing for customers.

The impact on customers will vary depending on their type and energy usage. For residential customers, there will be an average increase of 12.9%, translating to a $14.92 uptick in the monthly bill for a single-family residence using the average 900 kWh per month.

Small commercial/business customers will experience an average increase of 12.1%, while large commercial/industrial customers will see a 16.7% average increase in revenues.

Several factors contribute to the rate hike, including the annual adjustment for power supply costs – a pass-through cost reflecting Pacific Power’s efforts to meet customer demand in the face of rising power costs and market volatility in the Western electricity market. Additional factors include costs associated with wildfire risk mitigation actions taken by the company and various minor adjustments.

Megan Decker, Chair of the PUC, commented on the decision, stating, “The rate increase reflects the reality of high market power prices for utilities and the important actions Pacific Power is taking to reduce wildfire risks on its system.” Recognizing the financial challenges faced by families and businesses, Decker encouraged them to explore energy efficiency programs and rate discount initiatives to alleviate the burden.