CUB Supports HB 2475, Energy Affordability Act
Posted on February 5, 2021 by Samuel Pastrick
Tags, Energy
Too many low-income Oregonians face the choice of paying their utility bills or buying food, medicine, or other necessities. In 2019, Portland General Electric, the largest electricity provider in Oregon, reported that one in five of its customers had trouble paying their electricity bills. With COVID-19, that number has only increased. CUB has a decades-long history of advocating for energy bill affordability, but recognizes the need for targeted legislation to address affordability inequities. CUB supports the Energy Affordability Act (HB 2475), which will help reduce energy utility costs for customers with low incomes and facilitate input from historically underrepresented communities in the energy utility regulation process.
Lowering Utility Costs
Households with lower incomes spend a large percentage of their income on energy costs, and bill payment assistance programs do not meet the need. Advocates for environmental justice communities, and many community-based organizations have long called for energy utility rates that acknowledge income and social inequities. However, the Oregon Public Utility Commission (PUC) cannot consider these factors in its decision making. HB 2475 would allow the PUC to consider equity and income in the design of proposed energy utility rates, which would reduce bills for eligible customers.
HB 2475 would also allow the PUC to consider income and equity factors in energy utility programs. All too often, low-income customers who would especially benefit from upgrades like smart thermostats or high efficiency electric water heaters cannot afford them. HB 2475 would allow the PUC to approve energy utility programs that potentially cover the costs of improvements for qualifying customers. HB 2745 is a step toward ensuring that households with low incomes are not left behind as energy systems improve to address climate pollution.
HB 2475 also ensures that large commercial and industrial customers would pay their share of costs of actions utilities might take in connection to this legislation.
Representation Opportunities for Environmental Justice Communities
Currently, energy utilities and related businesses are major players in PUC proceedings. While CUB represents residential customers as a broad group, we recognize the need for more seats at the table for community-based organizations to advocate for the needs of historically underrepresented customers, particularly environmental justice communities.
The Energy Affordability Act facilitates engagement from environmental justice advocates. HB 2475 broadly defines environmental justice communities that have historically been underrepresented in utility regulation, including Black, Indigenous, and other communities of color; rural, coastal, and frontier Oregonians; and seniors and people with disabilities. Historically, energy utility regulations and polices have adversely affected these communities. Facilitating more meaningful opportunities for advocates that represent these communities to participate in the PUC’s regulatory process will allow us to build utility systems that work for everyone.
CUB Joins Calls for “YES” on the Energy Affordability Bill (HB 2475)
The Energy Affordability Act is not a new legislative proposal. In fact, advocates for environmental justice communities fought for similar legislation in 2019 and 2020. Even with support from CUB and other stakeholders, these efforts did not pass.
While this legislation was greatly needed in 2019, the COVID-19 pandemic has only made the need more urgent. Unemployment remains high and unpaid energy utility bills continue to pile up. CUB supports the environmental justice leadership behind HB 2475. HB 2475 meets the needs of Oregonians and CUB urges a “yes” vote.
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09/05/22 | 1 Comment | CUB Supports HB 2475, Energy Affordability Act