Action Alert: Support the Oregon Utility Consumer Protection Bill

Editor’s Note: The House Committee On Climate, Energy, and Environment is holding a hearing on the Utility Consumer Protection Bill on 3/1. Take action and tell legislators to support this bill!

Utilities are investing billions of dollars in pipelines and power plants, costs that customers like you will ultimately pay for. The Utility Consumer Protection Bill (HB 3152) ensures that our utilities are investing wisely and in line with climate regulations.

The Utility Consumer Protection Bill (HB 3152) will:

• Protect customers from financial risk during the clean energy transition
• Move costs of fossil fuel expansion to shareholders, not customers
• Ensure utility regulation is in line with climate regulation

Utility Consumer Protection Bill (HB 3152)

The Utility Consumer Protection Bill (HB 3152) will reduce financial risk for households while we move to a clean energy future.

Protecting customers from financial risk during the clean energy transition. Over the next 30 years, Oregon’s climate regulation is ramping up. By 2040, Oregon will have 100% clean electricity. By 2050, gas utilities will have reduced emissions by 90%. These goals will not be met without major changes by utilities. This bill will ensure that customers are only being charged for investments that help advance these goals.

Moving costs of fossil fuel expansion to shareholders, not customers. Right now, utility companies can charge customers for new investments, like pipelines or power plants. With this bill, utilities and their shareholders will have to pay for new fossil fuel expansions. Without customer dollars, utilities will have to think twice about their investments. This means customers will be protected from investments that go against state climate goals.

Regulators will be required to consider climate in their decision-making. The Public Utility Commission is in charge of approving new investments and bill increases. Right now, their decisions do not fully take climate into account. This bill will direct regulators to align with state climate regulations. This will reduce risk to customers and ensure utilities are investing wisely.

Why Do We Need Utility Consumer Protections?

As climate regulations ramp up, we need utilities to make investments that reduce emissions. New fossil fuel investments today can last 60 years. These polluting systems not only raise our bills now but also add financial risk for decades.

New Report Finds Risk for Gas Customers
A recent report from regulators recognizes that gas utilities’ compliance with climate regulation will place costs on customers. The greatest burden will likely fall on customers with a high energy burden, especially low-income households.

Beyond bill pressure from increasing utility costs, there is a risk of customers leaving the gas system by switching their space heat, hot water, and cooking to electricity.  The report recognizes that this could accelerate cost pressures by having a smaller customer base paying for a larger share of the system. These increasing bills could, in turn, cause more customers to leave the system.

Gas Utilities Aren’t Planning for the Future
In late 2022, NW Natural filed its long-term resource plan with state utility regulators. The main question NW Natural needs to address in its plan is how it is going to meet climate regulations that require emission reductions through 2050. CUB does not think the utility has answered this question at all.

Instead, NW Natural used completely unrealistic assumptions to suggest it can continue to grow its system while slashing its carbon emissions. Customers shouldn’t be on the hook for these risky investments to expand fossil fuels in Oregon.

This also comes on the heels of all of Oregon’s gas utilities suing to block climate regulation. NW Natural, Avista, and Cascade have all filed suit against the Climate Protection Plan. Although the utilities claim they can meet emission reduction targets, they are trying to block these requirements.

CUB is Advocating for Oregon Utility Customers

CUB’s advocates worked hard to help develop this legislation. Together with lawmakers and other advocacy groups, we are excited about this consumer protection opportunity.

Oregon’s utilities have big changes ahead. We know that there are going to be a lot of new investments needed to meet climate regulations. With the Utility Consumer Protection Bill, Oregon households will have less financial risk through this transition.

Stay Up to Date on Oregon Utility Issues

CUB will continue to advocate for people in Oregon on major utility issues. Sign up for the CUB email list for the latest updates, action alerts, and news on policies that affect the utilities your home relies on.



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