Avista Wants to Raise Your Rates…Again!
Posted on May 18, 2015 by Sommer Moser
Tags, Energy
A mere three weeks after the Public Utility Commission (PUC) approved an increase in rates for Avista’s 2014 general rate case, the company is at it again and seeking yet another general rate increase for its Oregon customers.
On September 2nd, 2014, Avista filed a request to increase rates by $9.14 million, or roughly 9.8% of its annual revenues. CUB fought hard and was able to settle the case for much less than what Avista initially asked for—approximately 42% less. On April 9th, 2015, the PUC approved the settlement, which allowed Avista to increase its Oregon rates by approximately $5.26 million. That translated to a 5.2% increase for the company’s residential customers. This was on top of an increase of 7.8% on November 1, 2014.
Now, less than a month after the PUC released the Final Order on its 2014 general rate case, Avista has asked to increase rates yet again. This time, Avista is asking the PUC to approve another $8.56 million increase in rates, which would mean an 8% increase. Avista is arguing that its current rates, even though just authorized by the PUC, are not sufficient to provide Avista with a fair and reasonable return or allow the Company to attract capital at reasonable interest rates.
Frankly, CUB is shocked. Combined, these increases represent a 20% hike in the cost of heating a home, something many families simply cannot afford. Avista is saying that capital additions, declining margins, and an increase in expenses for running its business are driving its request in this case. As with all cases, CUB will take a hard look at Avista’s request and advocate on behalf of residential customers for rates that are fair, just and reasonable. We know that even though the economy is getting better, Avista still has many customers that are struggling to make ends meet. We will keep you updated as the case develops.
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05/01/17 | 0 Comments | Avista Wants to Raise Your Rates…Again!