Avista Granted State Approval for 8.7% Residential Rate Decrease

Salem, Oregon- The Oregon Public Utility Commission (PUC) has announced an upcoming decrease in rates for Avista Utilities customers, effective November 1, 2024. This decision comes as part of an annual adjustment process that allows regulated natural gas companies, including Avista Utilities, Cascade Natural Gas, and NW Natural, to align their rates with the actual cost of wholesale natural gas, reflecting market conditions without additional markup.

The rate reduction is largely due to lower-than-expected natural gas prices in the past year, which led to an over-collection of revenues from customers. Additionally, Oregon’s mild winter decreased demand for natural gas, contributing to this year’s downward rate adjustment.

Rate Reductions by Customer Type:

• Residential Customers: Monthly bills for residential customers using an average of 47 therms will drop by $6.15, an 8.7% decrease, lowering the bill from $70.53 to $64.38.

• Commercial Customers: Monthly bills for commercial customers using around 204 therms will decrease by $28.26, or 10.7%, from $264.31 to $236.05.

• Industrial Customers: Industrial customers consuming an average of 3,641 therms will see a $550.84 reduction, or 24.7%, bringing the monthly bill down from $2,233.42 to $1,682.58.

“Oregon’s purchased gas adjustment mechanism reflects that the cost of natural gas is driven largely by regional, national, and global factors outside the utility’s control, but it also creates incentives to keep utilities accountable for careful management within those market conditions,” PUC Chair Megan Decker commented. “We are fortunate this year to see the stabilizing supply and demand of natural gas ease financial pressures on consumers.”

To support customers in further reducing energy costs, the Energy Trust of Oregon offers various energy efficiency incentives, including income-qualified programs and practical tips to reduce energy consumption. For assistance with bill payment options, including the Comfort Level Billing program, customers are encouraged to contact Avista or reach out to their local Community Action agency.

Avista serves over 100,000 customers in southwestern and northeastern Oregon. This annual adjustment aims to ensure that customer rates align closely with actual market prices, helping Oregonians manage energy costs in a fluctuating natural gas market.