Customers Speak Out Against Pacific Power Bill Increase

PGE’s Request to Raise Rates in 2025 Lives On

This spring, CUB set out on an ambitious mission: asking regulators to dismiss Portland General Electric (PGE)’s latest request to increase billing rates for customers. CUB has never done this before. Regulators have decided to allow PGE to continue with its request to increase bills again.

We filed a motion to dismiss the case because PGE submitted a request for another 7% increase just weeks after regulators approved an 18% increase. Nothing had changed except for customers’ bills getting higher.

We are disappointed. But we will continue to fight for a more fair process for customers and represent the needs of Oregonians. PGE customers will have another opportunity to make their voices heard on May 16.

Regulators Reject CUB’s Call to Dismiss PGE’s Request to Raise Rates

In a Motion filed to the Oregon Public Utility Commission, CUB asked regulators to reject PGE’s 7.2% increase for customers. PGE customers just saw bills increase this January. We argued that there has been no sufficient change to warrant the request since regulators set new rates just weeks ago in December 2023. This request to dismiss was supported by the Green Energy Institute and the Alliance of Western Energy Consumers, as well as a host of community organizations.

CUB also offered the Commission an alternative in our filing. If they would not be willing to dismiss the entire case, the motion also included an option to severely limit the scope of what PGE can request. This would include removing all of the items that the Commission just ruled against in December (higher profits, less financial risk for shareholders, and more).

Regulators Side with PGE, Ignoring Customer Outcry

On April 25, the Oregon Public Utility Commission denied CUB’s request. The process of allowing PGE to increase rates by another 7.2% in 2025 will continue.

At the oral argument on April 16, CUB argued that dismissal would acknowledge the impact continuous rate cases have had on Oregonians, and that PGE’s request to increase its revenues was too soon. Given the recent rate increases, the balance needed to shift away from what PGE needed to its customers’ needs.

It was pretty clear that the Commission was on a different page than CUB and customers.

This contrast is particularly stark when you consider the groundswell of outcry over PGE’s latest proposed increase. Over 1700 people have sent comments to the Oregon Public Utility Commission at the time of writing this blog. This is a massive amount of comments for a government body that most people have never heard of. Similar cases rarely receive over 100 comments.

Refusing to Dismiss PGE’s Request is a Sign of Larger Issues

The biggest issue is not our Motion to Dismiss, but who is being served by the regulatory process. CUB still believes that the Commission has the power to dismiss a rate case that is filed weeks after rates were just decided.

We will continue to work to fight for the interests of customers.

PGE Has No Strategy for Affordability

We think there is a big problem with PGE. CUB is concerned about PGE’s strategy towards decarbonization with an “all-of-the-above” strategy. CEO Maria Pope has also described their approach to transportation electrification as an “all of the above” approach. We’re also seeing this ethos in the amount and the volume of costs they are asking from customers, even beyond investments in reducing emissions.

“All-of-the-above” is not very strategic.

Strategy involves identifying the best way to deploy your resources. It requires prioritization. PGE acts as if everything is an investment opportunity and their customers have unlimited wallets. By choosing to prioritize all possible investments that move toward meeting the company’s goals, customers pay the price.

While PGE has a requirement to reduce emissions, its all-of-the-above strategy is not about clean, reliable energy. It’s about profits. Here, it is requesting to increase profit margins again. Regulators set their allowable profits at 9.5% in December 2023. Just 60 days later, the utility asked for more. Higher profits do not make the system cleaner and they certainly do not provide additional benefits for customers.

Customers Cannot Afford Endless Increases

We need a managed transition to clean energy, not one that does not consider customer impacts. This is not sustainable because customers cannot afford it. Customers need regulators to place some constraints around utility requests to increase rates. There should be a better balance between approving Company investments and what Oregonians can afford. CUB believes this is possible.

Dismissing the case would have sent a strong message that the Oregon Public Utility Commission and its regulatory process are focused on the needs of customers, not utilities and their shareholders. This is clear from the battery project PGE includes in its request to increase rates.

While PGE may claim that this increase is for battery storage, that increase does not need to happen right now. The first battery project is currently projected to come online on December 31, 2024, and the second is not until June 2025. Any delays will mean that it could easily not be serving customers when rates go up. PGE could be asking customers to pay more for batteries that aren’t even turned on. PGE could carry these costs, not customers.

Additionally, PGE is set to receive a tax incentive from the federal government once the battery project is finished. This means that PGE is asking customers to pay more now so the utility can refund that money later (and over a 5-year period). Effectively, PGE customers are being asked to lend the company money after raising rates by 30% since December 2022. Customers are not investors in their utilities, shareholders are.

We need regulators to protect customers from unnecessary bill increases. PGE can afford to take on these costs in the short term. Oregon households cannot afford to take on higher bills.

PGE Wants to Make it Easier to Raise Prices Every Winter

Paying in advance for battery storage is just the start. PGE wants to make it easier to pass the costs of investments to customers with less oversight and faster turnaround for raising bills.

PGE rates have increased by 30% since December 2022. Many customers have struggled to pay the huge bills associated with the cold January weather. But somehow the utility thinks that the problem with utility regulation is that it is too hard to raise rates. So they are proposing making it easier.

PGE has proposed a new policy that will allow them to add billions of dollars in new investments to customers’ bills every January. All without having to go through the work of a traditional regulatory process. Regulators’ processes are already not working for customers, we do not need to change the process to make it easier for utilities to raise bills with less consumer protections.

Customers Can Keep Up the Pressure

Customers can help. The Commission is hosting a virtual public input session on PGE on Thursday, May 16th. Customers should attend and tell the Commission their stories about how big winter rate increases from PGE affect them.

Let the Commission know if you think PGE should be given another rate hike.

Learn More About PGE’s Request

Using Battery Storage as an Excuse: PGE has requested a $202 million rate increase (~7%) under the guise of needing more money for battery storage projects. Yet, only about $17 million of the request is actually for battery storage.

While battery storage is the talking point, the case is much more of a wish list by management for:

• Higher profit margins
• Making it easier to raise prices every winter
• Shifting financial risk to customers

PGE Just Agreed to its Current Profit Margins: In 2023, PGE settled with parties at its current profit margins, and more. CUB, advocates, and the Commission just spent nine months litigating these requests. Asking for all of these items again a couple of months later is a waste of time and resources, especially when nothing has changed.

Read more about PGE’s Request: PGE Asks for Even More Rate Increases (CUB Blog)

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Stay Connected with Oregon Lifeline

For many Oregonians, finding help paying for utilities can be difficult, especially for things like internet and phone bills. This is where the Oregon Lifeline comes in–with internet service now being more necessary than ever, Oregon Lifeline is vital in helping low-income families stay connected.

What is Oregon Lifeline?

Oregon Lifeline is a federal and state government program that provides a monthly discount on phone or broadband service for qualifying low-income Oregon households.

You can:

• Receive a discount on your phone bill of up to $15.25 per month;
• Receive a discount on your broadband bill of up to $19.25 per month; or
• Receive free cell phone and data service

Whether it’s for keeping in touch with family, searching for jobs online, or simply browsing the web, Oregon Lifeline helps you stay connected.

Who Can Benefit?

If you’re having trouble managing the costs of your phone or internet bills and meet certain income guidelines, you may be eligible.

If you or someone in your household already accesses public benefits such as the Supplemental Nutrition Assistance Program (SNAP) or Medicaid, you already qualify and will need no documentation when you apply!

How to Access Oregon Lifeline

Accessing the Oregon Lifeline program is easy! Here’s what you’ll need to do:

Check Your Eligibility: First, you need to find out if you qualify. You can do this by visiting the Oregon Lifeline website or giving them a call. They will ask questions to determine your eligibility.

Gather Your Documents: You’ll need some paperwork to prove that you qualify. This might include documents showing your income or that you’re part of another assistance program.

Apply: Once you have all your documents ready, you can apply either online, by mail, or over the phone.

Get Connected: After your application is approved, you’ll start receiving the Lifeline benefit. This means a discount on your monthly phone or internet bill, making it more manageable to keep those services running.

Staying in the Program

To keep getting your Lifeline benefit, you’ll need to confirm every year that you still qualify. This is called recertification. The Lifeline program will remind you when it’s time to do this, so you won’t forget.

Stay Connected with Oregon Lifeline

The Oregon Lifeline Program is a fantastic way for eligible Oregonians to make sure they can afford their phone and internet services. Staying connected is vital, now more than ever!

If you think this program could help you or someone you know, check it out and take the steps to apply.

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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Customers Speak Out Against NW Natural Bill Increase

This year, NW Natural is asking to raise rates by 18% for residential customers. Overall, customers could see an increase of $169.68 per year. With the proposed increase, winter bills alone would go up $22.73 a month for an average household. Customers could face an average heating bill of $150 per month next winter.

What’s in the Proposed Increase?

NW Natural is asking for $154.9 million, $110 million of which would be charged to Oregon households. The gas utility’s $154.9 million request includes:

• Higher profit margins
• Expanding subsidies for growing the gas system
• Higher bills for customers in new gas buildings
• Changing accounting for how customers pay for large investments
• Infrastructure upgrades

On Tuesday, April 16, 2024, the Public Utility Commission held a public hearing on NW Natural’s general rate case. The gas utility is asking for an 18% increase for residential rates. Community members, including some CUB partners, spoke up against increasing bills.

Climate Activists Speak Out

Throughout the public comment hearing, Oregonians expressed concerns with rising utility bills for a myriad of reasons, including environmental concerns and potential financial burden on already struggling families.

Dineen O’Rourke, Campaign Manager for 350 PDX, requested that the commission reject Northwest Natural’s proposal citing environmental concerns. “Northwest Natural’s proposal will prop up its polluting gas system in the face of emission reduction obligations by expanding its system and relying on expensive false solutions like biomethane and hydrogen blending.”

Pat Delaquil, on behalf of Mobilizing Climate Action Together, stated “Northwest Natural is not acting in the public interest and does not deserve an increase in its profit margins.”

Nataliya Pirumova, on behalf of Families for Climate, stated “As a parent to two children, I feel like I owe it to them to somehow forestall the climate emergency that is barreling towards us–or in fact, is already here.” She added, “We need to stop expanding the gas system and start shrinking it immediately.”

Nora Lehmann, also a member of Families for Climate, stated “We request that the commission reject Northwest Natural’s attempt to expand the system of methane pipelines at their customers’ expense and at the expense of a livable climate for our children.”

Jane Stackhouse from NE Portland and member of Mobilizing Climate Action Together, asked to deny this rate increase request, stating: “The market is changing, our climate is changing, and we must take action now.” She added, “Customers should not have to pay for the shortsightedness of their energy provider, especially those customers who have limited options.”

Bethany Cotton of Eugene, Oregon commented “As an environmental lawyer and auntie to two kiddos under 3, I am deeply concerned about Northwest Natural’s concerted efforts to undermine necessary climate policies at the local, state, and federal levels. I am likewise concerned about the public health impacts of gas.”

Linda Kelley, a volunteer for 350 Eugene, stated “Fossil fuel investments are not in the public interest.”

Chloe Wilson, a representative of the Tigard Youth Advisory Council, shared “As a resident of Tigard, I know many people are barely getting by[…]Northwest Natural’s higher fixed charge will burden new homeowners with a charge they can do nothing about.”

Kailani Rue, member and representative of the Tigard Youth Advisory Council, also commented “More money will be going from ratepayer pockets to the investors[…]This proposal is highly risky and will only damage our climate.”

CUB Will Continue to Fight Pacific Power’s Request

The Public Utility Commission will decide on this rate case by October 25, 2024. Any increase in rates will take effect for Northwest Natural customers in November of this year.
CUB’s policy team will continue to advocate for Oregon households, fighting unfair rate increases. To read more about the details of this rate case, visit this recent post on the CUB Blog.

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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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We Must Center PGE Customers, Not Wallstreet

Despite an 18% increase in January, skyrocketing bills, and heavy outcry from customers, Portland General Electric (PGE) is asking for another 7% rate increase. PGE households’ bills have already gone up by 30% since December 2022. CUB has called on regulators to dismiss PGE’s latest bill increase request.

On Tuesday, April 16, the Oregon Public Utility Commission heard arguments from CUB, Commission Staff’s DOJ attorney, and Portland General Electric. Instead of focusing on the impact on PGE customers, this hearing showed the depth of the issue CUB is trying to address. The system is not set up to protect customers. It is designed to facilitate utility rate cases.

Regulators Showed Concerns About Wall Street, Not Customers

While we appreciate the thoughtful questions from the Commissioners, we are concerned about the tenor of the conversation. At no point were questions directed toward customer impacts.

Instead, one Commissioner asked CUB what message was sent to Wall Street with CUB’s request.

By contrast, no Commissioners asked PGE (or anyone else) about the message that would be sent to customers with another big winter rate hike next year.  There was not a single question about customer affordability.

Public Outcry is Not Attention Seeking

During the April 16th hearing, one Commissioner suggested that CUB’s request to dismiss yet another bill increase was to drum up public support. In its written response, PGE made a dig at the media coverage of the 7.4% rate increase request. Both of these disparaging references to public conversation miss the point: customers do not want their bills to go up again.

Like it or not, people are fed up. Over 1600 Oregonians have submitted comments to the Public Utility Commission. That’s nearly ten times what we would expect in any other similar case.

As much as CUB would love to take credit for this huge response, the reality is that this is a grassroots movement. We need to honor and center the voices that are crying out that the system is not working for them. The experiences of PGE customers can no longer be ignored.

Customers’ Outcry in Their Own Words

“Please do not raise PGE costs again next year. Give us time to adjust to the huge price increase this year. Families and Seniors on fixed income are struggling with the rise in costs for food, housing, interest rate, etc. Thank you.”
-Stella, Beaverton

“This rate hike will make electricity unaffordable, full-stop, for low-income people. Electricity must not become a luxury. We, as consumers, should not be price gouged in the name of grid improvements. I’m not convinced this rate won’t go towards stock PGE buy-backs, executive bonuses, or shareholder dividends.”
-Grace, Portland

“Please do not increase rates. I think the historic rate jump here in 2024 is big enough that one next year isn’t warranted. So many people right now are struggling to pay groceries and rent, this is not the time for a second big price increase.”
-Cameron, Portland

“Please do not approve PGE’s request for a rate increase. They already got one, and it’s been devastating. Everyone I know was horrified by their increased energy bills this year. The average person’s wallet is already strained right now, between out-of-control grocery prices, rent increases, and employers refusing to give anyone enough hours to live on. My family is struggling financially. We can’t possibly “save energy” any more than we already are, and we can’t possibly “save money” on anything else. There are no frivolities left to cut. We don’t have streaming services or cable TV. We don’t go out to eat anymore. We have the cheapest internet and phone service we can get that meets our work needs. We can barely afford basic necessities. Yes, we know about their income-qualified discount—it barely helps at all. It is PGE’s turn to be more responsible with their money. Please don’t let them hurt us even more.”
-Margaret, Salem

“How is PGE able to raise rates 14% in 2023, raise rates another 17% in 2024, and now ask to raise rates even more in 2025 while also reporting a 24% increase in profit? If a company has government permission to be a monopoly, there needs to be strict laws for how they operate. They should not enjoy a $2.2 billion dollar profit for 2023 with zero competition and still operate for profit like they are competing in a legitimate market. I would gladly pay someone else for utilities, but there is nowhere else to go. It’s absurd to even consider another price increase.”
-Josh, Hillsboro

“I can’t believe that the state is continuing to consider rate hikes by PGE and PAC. 3 days ago PGE made what looked like a reach out to help low income homes, then the very next day they announced asking for a significant rate hike. So the low income reach was simply a marketing strategy. By continuing to approve these you are pushing more people to the financial edge. I work with low to moderate income communities and I also work with the utilities. This winter some residents have experienced $400-600 per month electricity increases. Someone that I know that has a completely natural gas home and completely insulated, is married with 2 kids and still experience’s $400 winter bills. Why are you putting these electric changes all on the laps of the people? Yes we need to change the grid, yet the federal and state governments should be addressing this and stop making all of us poorer through utilities greed. A lot of people are now starting to say that they are sticking to natural gas or switching back over. That is turning us in the opposite direction. Please stop these increases!”
-Mel, Portland

“Make Portland utilities an actual public utility company or at least look into them price gouging. From what I understand they charge more than double per kWh compared to Clark Public Utilities. Portland already has a housing crisis and now they’re going to hike it up another 7% next year. Please do something. More people are becoming houseless.”
Kelly, Lake Oswego

“PGE should not be able to request a rate hike after making such a historically high rate hike last year. Their CEO compensation is far too high for them to continue raising rates on their customers. Shame on you all if you let this needless greed go unchecked.”
-Ryan, Portland

“The new PGE rate hike is predatory at best. They continue to report record profits, quarter after quarter. Failing to invest in infrastructure improvements shouldn’t be rewarded with more profit.”
-Adam, Fairview

“I am frustrated with rates as we are seniors on fixed income. The cost for power and constant rate increases are insanity! Our bill practically doubled and was over $500 when normally around $300 even though we are using a wood stove and shutting off lights around the house. How anyone can sustain this? PGE is increasing rates every January and I am not sure how seniors are going to handle it. Those living in Portland pay a much higher rates than WA or CA even though we are sitting on hydro power. I feel like Oregonians are being punished. Please stop raising rates every January!”
-Lynn, West Linn

“Hello, I’m fairly new to Oregon ( 4 years to be exact) and this new proposed 7.4% increase on rates is rather ridiculous. Considering rates with PGE just went up 17% in January which disproportionately affected alot of its customers was hard enough. Is it not OPUC job to protect customers from rates like this? Why is this commission’s job not being done? If those on the commission are unable to do their jobs they should be replaced with people who actually can instead of holding on to incompetent and worthless individuals. This is just another reason to leave this state for a place more affordable. GET IT RIGHT OR GET OUT!”
-Anthony, Portland

“Please do not let PGE raise rates again. I’m already paying out my nose to try and raise my kids in the city I grew up in. Another rate hike is going to push a lot of people out or into poverty. Plus, Maria Pope makes $6m/year. Ask her to take a pay cut first.”
-Evan, Portland

“Please do not permit PGE to raise our rates again. We cannot afford it. Its emotionally and financially difficult. We are angry and tired. Many PGE customers are low income or are not able to get help because our wages are just over what is allowed for financial help. We can’t keep doing this. Stop pay raises and bonuses and lower salaries. No wasting money!”
-Kristen, West Salem

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.

Donate to CUB

To keep up with CUB, like us on Facebook and follow us on Twitter!

Myth Busting: Why Clean Energy Is Not Making Energy More Expensive

One question we have been asked recently is whether the big rate hikes we have been receiving are due to Oregon’s clean energy mandates. Would we have avoided these big rate increases if we did not pass clean energy mandates?

The simple answer is no. Clean energy policy is not responsible for rising energy bills in Oregon

There is little evidence to suggest that Oregon customers would have lower rates without our requirements that utilities invest in clean energy and phase out of fossil fuels.

Energy Bills Are Increasing Without Clean Energy Investments

Rates are increasing where there are no clean energy mandates.

Idaho Power has proposed a 27% rate increase for Oregon residential customers. Idaho Power primarily serves customers in Idaho but serves a small slice of Eastern Oregon. Because its Oregon service territory is small, it is exempt from Oregon clean energy mandates and Idaho does not have any clean energy mandates.

The biggest request to increase customer bills in 2024 is coming from a utility that does not have clean energy mandates.

Electric utilities that are behind in the clean energy transition are still asking for more money

Coal still makes up more than 50% of Pacific Power’s electricity supply. Yet Pacific Power is currently seeking a 22% residential rate hike on top of several additional increases over the last 3 years.

Very little of Pacific Power’s request to increase customers’ bills is coming from clean energy at all. In fact, Pacific Power’s plan to meet emissions reduction requirements currently includes little renewable energy. The utility is proposing converting coal plants to natural gas plants by 2030. Pacific Power has gone so far as to cancel its request for proposals for building more renewables and is extending the lives of its coal plants.

Natural gas prices are driving up energy bills

NW Natural is a natural gas (methane) utility. While its rates went down a little this year, in the previous two years combined, its rates had increased by more than 40%.

Most of Oregon’s electricity providers use natural gas to generate electricity. Customers who heat and cool with electricity also see rising bills. In 2024, Portland General Electric raised rates by 18%. Nearly a quarter of that 18% increase was from rising natural gas costs.

Renewable energy is the least cost resource

PGE recently brought online its latest renewable resource, the Clearwater Wind Facility in Montana. The power from this wind farm reduces PGE’s need to purchase power from the wholesale market. That savings, combined with federal clean energy tax benefits, has lowered rates. Even though the capital investment associated with building the wind farm has been added to rates, those costs are offset by the savings.

If clean energy mandates are not the cause of price increases, what is?

Several things are driving higher costs for utilities:

• Fossil fuel costs are increasing and risky
• Demand for industrial electricity is increasing
• Infrastructure needs to be replaced
• Extreme temperatures (planning for higher peak load capacity)
• Wildfires
• Lack of Setting Priorities
• Regulation that is not centered on the customer

Fossil Fuel costs are increasing and risky

All energy utilities, both gas and electric, currently rely on fossil fuels to provide energy to customers. As fossil fuels continue to become more expensive and higher risk, our energy bills go up.

Coal
In recent years, many coal mines have shut down. While some of this may be influenced by clean energy mandates, many closed for other reasons. One mine closed because of a fire. Another had a catastrophic failure of equipment. And a third closed to avoid pension costs for mine workers.

Each of these coal mine shutdowns has reduced competition for coal supply. And we have seen the costs of coal increase dramatically. While some coal-generating plants have access to coal at a reasonable, stable price, other plants have seen the cost of coal double in recent years.

At the same time, coal is increasingly a risky fuel. Many mines are owned by companies that are in bankruptcy or are financially struggling. Others are subject to the kinds of workplace safety risks that have shut down mines.

Natural Gas (Methane)
Gas costs are also higher and are incredibly volatile. Many customers who heat their homes with gas have experienced higher home heating costs due to increased gas costs. After a decade of stable gas prices, gas prices have been extremely volatile in recent years.

The price of gas has varied from about $3/mmbtu to $12/mmbtu. The run-up in prices in 2021 was during the winter when households needed heat. And in the summer of 2022, when households need cooling.

Demand for industrial electricity is increasing

Utilities are seeing increasing demand for electricity from industrial customers. While a lot of people point their fingers at electric vehicles, most of the load growth we are seeing is large industrial server farms. These are owned by large tech firms like Facebook, Apple, and Amazon.

While these large corporations pay for the direct costs of serving their loads, they also impact residential customers’ bills. Because they require a large amount of energy, they increase the need for utility to acquire resources and transmission to bring those resources to our communities.

Utility regulators assign costs to types of customers based on their use of utility infrastructure. So if a new server farm comes in, the utility may need to build newer or bigger power lines. The costs of that transmission will be shared with all customers who use it, not just the server farm. This means that when big industry comes into town, households can see bills go up.

Infrastructure needs to be replaced

Oregon utilities saw a lot of load growth in the 1960s and 70s. Electric utilities build out transmission and distribution lines to new homes as our suburbs grew.  Gas utilities expanded gas networks as homes moved from heating oil to gas for space heating.  Much of this infrastructure is hitting the end of its 50 to 60-year useful life and needs to be replaced. 

The replacements need to be designed for future electric service.  For example, the wires that delivered power to homes have traditionally provided one-way service, but with rooftop solar new replacements are designed for a modern two-way power grid. 

More Extreme Temperatures Require Expensive New Capacity

Renewable resources can produce kilowatt-hours of energy at a lower cost than traditional fossil fuel generation. But a big driver of cost is capacity—meeting customers’ energy needs, particularly during extreme temperatures.

Capacity represents the total amount of energy that you need at any one point in time to serve customer demand. And when customer demand, also called “load,” is at its peak, it can be expensive.

Utilities have to plan for how to meet the needs of customers every day. On the hottest days of the year, a utility has to have enough capacity to provide cooling to its customers. On the coldest day of the year, the utility has to have enough capacity to provide space heating. As we see temperatures continuing to hit new extremes, serving peak load becomes more expensive.

Because of climate change, we are seeing an increasingly high demand from customers trying to heat and cool their homes and businesses. These new extreme temperatures mean that utilities are having to ramp up the energy systems for higher peak loads.

Hydroelectric dams have historically provided the Pacific Northwest with some of the cheapest capacity in the country. But there are limits to what the hydro system can provide when peak demand is higher today than decades ago. Utilities often look to battery storage, which is fairly expensive and pushes up rates. However, it is important to recognize that batteries compete favorably with the alternative: buying expensive methane to raise capacity.

Idaho Power does not have clean energy mandates and has had a great deal of load growth in its Idaho service territory. This utility just made a large investment in batteries and that is one of the contributors to its big rate increase. But Idaho Power is not subject to Oregon clean energy laws. It could have invested in a gas plant instead because of the volatility of gas prices. Gas will likely be pretty expensive during times of peak needs. And gas plants and gas supply are subject to future regulation which could make them less economical.

Wildfires Are Driving Up Utility Bills

More than half of PacifiCorp’s 22% rate hike is associated with wildfires. These costs include investments to reduce the likelihood that the utility’s system will cause wildfires and liability costs associated with cases where the utility caused a wildfire.

The current risk of wildfires is largely a function of our changing climate. The forests of the Pacific Northwest evolved under climate conditions that were cooler and drier than current conditions.

The long-term solution to wildfires is to reduce carbon emissions. So rather than a cost associated with clean energy, wildfire costs are caused by climate pollution from energy. Reducing climate pollution globally can help drive down the risk of wildfires locally.

While there is no evidence that clean energy mandates are the cause of rate increases, utilities have to manage the transition to clean energy. Specifically, utilities must manage the transition in a way that minimizes customer impacts. They also must respond to the other challenges listed above in a way that minimizes bill increases. But we aren’t seeing utilities limiting their costs to protect customer affordability.

In news articles, PGE’s business model is often described as an “all of the above strategy.” Doing all of the above isn’t very strategic. Strategy means setting priorities. This means a utility has to set priorities.

Utilities have a responsibility, not to maximize profits, but to keep utility services affordable. We call our for-profit utilities “public utilities” because they provide a public service – an essential service. They have a responsibility to provide good service – which by definition must be affordable. When rising numbers of customers cannot pay their utility bills and are disconnected, utilities are not providing a good service.

Affordability is a big part of the current problem with how utilities are investing in their systems. When additional costs associated with wildfires appeared, did the utilities cut or delay any programs or investments? When it became clear that server farms were going to add significant additional costs, did the utility cut or delay any programs?

We Don’t Need Less Clean Energy, We Need Better Regulation

As we look for solutions, stripping away climate protections in our energy system is not the answer for protecting affordable utilities. We need the people approving utility rate increases to center customers, not utilities.

Regulation is not centered on the customer

For-profit utilities are monopolies and are regulated to protect customers. However regulation has become more and more focused on the needs of the utilities rather than the needs of the customer.

Our current structure leads regulation to focus on each individual line item of a utility’s request to raise rates, but not on the overall affordability of bills. There are several parts to this problem:

• Utilities have an incentive to spend money
• Utilities can request dozens of rate increases a year
• Regulator looks at individual utility projects, not total rates
• Costs can be updated even after they are approved by regulators
• Utilities work to keep information confidential from the public

Electric utilities are typically the ones who see the most frequent requests for rate increases. PGE is not the only utility that has had large bill increases in the past few years. Pacific Power customers saw bills increase by 21% at the start of 2023 and by 11% on January 1, 2024.

Increasingly, gas utilities are also asking for more from customers more often. Alongside the big spikes in the cost of methane, NW Natural gas rates have increased by 32.7% since September 2022.

We’re seeing a rising trend in utilities asking for more money more often

It used to be that once regulators established new rates, the utilities were expected to live with those prices. But that is no longer our reality. Utilities are asking for big bill increases through requests called “rate cases,” every 1-2 years. In the past, utilities would wait 3-5 years (or longer) before opening a new rate case with regulators.

At the beginning of 2024, within weeks of establishing new rates that were 18% higher than the old rates, PGE made a filing to track storm-related costs to add these to rates. And not long after that, PGE made a new rate filing to increase rates again.

More Requests, Less Transparency

In addition to frequent rate cases, utilities can track costs to later add to rates. And they have multiple separate pathways for asking customers to pay for wildfire mitigation, coal plants, storm damages, energy efficiency, and much more.

All of this makes it hard to even estimate how much rates will be increasing in any given year. And without knowing expected price increases, how can regulators protect customers from unaffordable rates?

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.

Donate to CUB

To keep up with CUB, like us on Facebook and follow us on Twitter!

Pacific Power Asks for 21.6% Rate Increase for 2025

This year, Pacific Power is trying to raise rates by 21.6% for Oregon households. A typical household could see an average increase of $29.47 each month. This amount would be much higher during the winter months and summer months when heaters or air conditioners are turned on.

Pacific Power’s proposed increase is largely from wildfire-related costs. After the court ruled the company was grossly negligent in the 2020 Labor Day fires, Pacific Power has consistently made moves to pass liability costs onto customers. CUB will be closely analyzing this request to ensure the company is held financially responsible for wildfire liability.

Utility customers across the state are feeling the impacts of higher energy bills. CUB is working hard in this case to make some big changes to how regulators handle these requests from utility companies.

Utility Prices Are Already Too High

We’re seeing a troubling trend in Oregon utilities: companies are asking for more money more often. As utility bills in Oregon continue to rise in 2024, CUB is asking tough questions from state regulators and demanding action on affordability. We’re also calling for a cap in how much utility companies can raise rates each year.

This is the Third Year of Major Increases for Pacific Power

Pacific Power customers saw rates increase by 11% on January 1, 2024. This increase was largely due to an increased price of natural gas (methane) used to generate electricity.

At the beginning of 2023, Pacific Power raised rates by 21%. This increase was primarily due to high natural gas (methane) and wildfire mitigation costs. Although this was a large increase, CUB’s advocacy helped lower the impact on Oregon households.

We Need a Cap on Rate Increases

Over the last four years, we have seen a troubling trend of utilities raising rates more often and in higher amounts. With utilities asking for multiple increases each year, it can be challenging to know how much of an increase customers are facing.

We saw this with PGE’s increase in January 2024. While PGE’s original ask was a rate increase of 14%, multiple requests ended up pushing rates up by 18%. The final numbers were not calculated until mid-December 2023 before showing up on customer bills on January 1, 2024. This trend extends to Pacific Power and other electric customers, as well as gas customers.

To combat this, CUB is proposing a new way of regulating how utilities can increase bills. CUB is proposing that the Oregon Public Utility Commission put a cap on rate increases. We are asking the Commission to limit rate increases to 7% plus inflation or to 10%, whichever is lowest. This cap would apply to the cumulative increase customers see over a year. Any requests over that cap would be pushed into the next year or beyond.

In normal circumstances, it should be rare for utilities to increase rates by more than 10%. Unfortunately, we have seen a growing pattern of Oregon’s for-profit utilities asking for 15-20% increases nearly every year for the last four years. This is a call to Oregon regulators to implement a cap for all for-profit utilities, not just Pacific Power.

Pacific Power Isn’t Addressing Root Problems

Pacific Power has a lot of issues it needs to address in the coming years. It needs to clean up its fossil fuel-heavy system to meet climate regulations. It needs to harden its system to help prevent wildfires in the future. And it needs to provide service that customers can afford.

It is clear from this proposed rate increase that Pacific Power is not adequately addressing the root cause of these problems.

Reducing Emissions: Instead of investing in more renewable energy, Pacific Power is doubling down on fossil fuels by converting coal plants to natural gas (methane). And while it is not addressing climate change, it is attempting to avoid responsibility for wildfires by claiming that they are a climate inevitability.

Wildfire Costs: Pacific Power is attempting to pass on as much of its wildfire costs to customers as possible. Instead of looking at solutions that protect affordability, it is leaning into amassing billions of dollars to cover its wildfire liability.  The company continues to invest in the systems that are worsening climate change that makes wildfire risk even bigger in Oregon.

Affordability: This is the third year in a row that Pacific Power has asked for double-digit rate increases. If this increase is approved, Pacific Power customers could be paying 63% more for electricity in 2025 than in 2022.

What’s Included in This Increase?

Pacific Power is trying to raise rates by 21.6% for Oregon households. A typical household could see an average increase of $29.47 each month.

Pacific Power’s request to increase bills is mainly coming from wildfire-related costs. Of the $322 million request, $165 million is related to wildfire liability costs, insurance, and mitigation. CUB is working to ensure customers are not held responsible for the gross negligence of Pacific Power.

Higher Profits and System Investments

Pacific Power is asking for money for transmission projects ($737 million), renewable energy projects (starting at $27 million), and transitioning a coal power plant to run on methane ($9.3 million). Pacific Power is also asking for higher profits, which would add tens of millions of dollars for customers each year.

Transmission Projects
Pacific Power needs to update its system to deliver reliable electricity to more customers. Transmission lines are responsible for transporting energy across long distances from power plants to areas where customers live and work.

Renewable Energy Projects
Pacific Power is asking for money for two wind generation projects. One wind project is new while the other is a revamp of an existing project.

Coal to Methane Project
Pacific Power is still providing electricity to customers with an energy mix that is 50% coal. These coal plants operate outside of Oregon in places like Wyoming and Utah. To lower emissions and expenses, Pacific Power is transitioning some of these coal plants to natural gas (methane). Regulators gave this project the green light in 2022.

CUB is strongly opposed to this emissions reduction strategy. Regulators agree, ruling in 2023 against Pacific Power’s clean energy plan that sought to transition more of these coal plants to gas. Because of Oregon’s 100% Clean Electricity law, now these gas plants also will have to be replaced with renewable energy in the 2030s. Customers do not need to be paying for reducing fossil fuel emissions twice.

Wildfire Mitigation, Liability, and Catastrophic Fire Fund

Pacific Power is asking for money for wildfire mitigation, increased liability insurance costs, and a fund for future wildfire damages. CUB believes investments in wildfire protection are important, but they also must be smart.

Of the $322 million, over half is for wildfire issues:

• Wildfire mitigation: $21.2 million
• Corporate liability insurance: $66 million
• Catastrophic Fire Fund: $77.7 million

CUB is not convinced that Pacific Power’s proposal for dealing with wildfire liability is fair to customers. While it is important for utilities to have a plan for managing liability costs, Pacific Power is requesting too much from customers. Asking customers to foot the bill for the company’s wildfire liability is not the only option.

Wildfire Mitigation ($21.1 million)
Each year, electric utilities must file a plan to handle wildfire danger in their service areas. These plans include identifying wildfire risks where they are delivering electricity. Utilities also must identify risks around where they are moving electricity across distances. (e.g. power lines).

CUB has pushed back against Pacific Power’s requests to significantly raise rates for wildfire mitigation. In 2022, the utility asked the PUC to approve a $19.9 million rate increase for wildfire protection investments and costs. CUB believes investments in wildfire protection are important, but they also must be smart. We will continue to push for wildfire mitigation that is fair and reasonable.

Corporate Liability Insurance ($66 million)
After seeing mounting liability costs from the 2020 Labor Day fires, Pacific Power is seeing increased insurance costs. The utility is asking customers to pick up the cost of these more expensive premiums. Corporate liability insurance is used to ensure companies can pay out liability claims.

Additionally, Pacific Power is asking customers to effectively become the utility’s insurance company—but without the financial benefit to customers. When insurance companies back a company, they receive money from the company in exchange. Pacific Power is asking customers to pay into a fund for liability costs with no financial benefit in return.

The utility is asking to create a “self insurance” fund that is collected from customers. While this is spun as a form of insurance, it is not comparable to coverage from an insurance broker. This is “self insurance” in the same way that paying out of pocket for a doctor is “self insurance.” 

Catastrophic Wildfire Fund
On top of asking customers to fund a liability fund (“self insurance”), Pacific Power is attempting to amass between $2-3 billion for wildfire liability costs from the six states it serves. For Oregon, the goal is $77.7 million. These funds would be a backup in case liability costs exceed the insurance coverage. CUB has some major concerns about this fund.

While shareholders are being asked to pay some amount, customers are primarily responsible. In a best-case scenario, customers would be responsible for 80% of these costs. Because of the convoluted division of costs, the models show Oregonians could end up paying even more.

Pacific Power has not made it clear who would be able to receive these funds and how this money would be collected.

What could these funds be used for? Could these funds be used to pay for the company’s gross negligence? What happens if other states refuse to pay into the fund? Will the company make up the difference? How does this interact with legislation in other states that have created wildfire funds already?

Considering the size of the proposed fund, these are questions that need to be answered.

Customers and Advocates Can Join the Process

While CUB is hard at work digging into NW Natural’s request, we cannot do this alone. This March, customers and advocates will have the opportunity to share their stories with regulators. Regulators must hear how an increase this large would impact real people.

Public Hearing

There will be a virtual public hearing:
6 pm - April 30, 2024
Join via Zoom

At these hearings, regulators at the Public Utility Commission will hold space for community members to weigh in. For more information on what to expect at these hearings, check out CUB’s blog: Speaking Up on Utility Issues: Public Comment Hearings

If you are interested in receiving updates and more information like testimony guides, you can sign up with CUB.

Written Comments

Whether or not you can make the public hearings, written comments can also go a long way. The Public Utility Commission is accepting public comments via email, phone, or mail now through April 24.

By email – .(JavaScript must be enabled to view this email address)
By Mail - Oregon Public Utility Commission, Attn: Public Comment, PO Box 1088, Salem OR 97308-1088
By Phone - at 503-378-6600 or 800-522-2404 or TTY 800-648-3458 on weekdays from 8 a.m. - 5 p.m.

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.

Donate to CUB

To keep up with CUB, like us on Facebook and follow us on Twitter!

Celebrating 40 Years of Consumer Advocacy

CUB’s 40th Anniversary Fundraiser

Join CUB on May 15th at Portland’s Ecotrust Building for a night of celebration and community at our 40th Anniversary Fundraiser! CUB staff, alumni, and community members will gather to honor CUB’s legacy and future.

All funds raised at this event will support CUB’s mission of advocating for affordable, accessible, reliable, and clean utilities for people in Oregon. Member support allows CUB to work in the legislature, build critical partnerships, and much more.

At the event, attendees can:

• Enjoy a selection of beverages and delectable hors d’oeuvres.
• Purchase raffle tickets for baskets of exciting experiences and prizes.
• Hear CUB staff highlight 40 years of successes & present CUB’s vision for the future.

Tickets are $40. RSVP today!

Purchase Your Tickets

CUB’s Spring Fundraising Campaign

For 40 years, CUB has worked hard to advocate for affordable, accessible, reliable, and clean utilities for people in Oregon. We’ve saved customers $9.8 billion, pushed back against rate increases, and advocated for customers’ interests in the Oregon Legislature and the Public Utility Commission. And we’ll keep advocating for years to come!

As CUB turns 40 this year, we invite you to join us in raising $40,000 during our Spring Fundraising Campaign to help us continue building our capacity. We rely on the support of our members to fund much of our advocacy work. Spring into action by donating!

Donate Today

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.

To keep up with CUB, like us on Facebook and follow us on Twitter!

NW Natural Asks for an 18% Rate Increase for Oregon Households

This year, NW Natural is asking to raise rates by 18% for residential customers. With the proposed increase, winter bills alone would go up $22.73 a month for an average household. Customers could face an average bill of $150 per month next winter. Overall, customers could see an increase of $169.68 per year.

CUB is pushing back to stop customers from seeing this request show up on bills this fall. We’re concerned with how NW Natural is spending customer money, particularly on buildings and system upgrades when inflation is driving up construction costs. We are also troubled to see that NW Natural is once again attempting to expand subsidies for growing its system (and its profits) at the expense of customers.

Customers Cannot Afford Another Increase in Gas Bills

NW Natural Homes Are Paying 50% More Than in 2020

Gas prices have skyrocketed over the past five years. In 2020, an average NW Natural household paid $550.52 per year in gas bills. In 2024, that number is expected to jump to $823.75. If this increase is approved, an average NW Natural home could pay $1122.82 in 2025—up more than 50% since 2020.

Oregon’s other gas utilities have followed similar trends. Avista household bills are up 31% since 2020. Cascade homes’ bills are up 59% since 2020.

Much of these increases have come from the high cost of methane over recent years. However, we have seen fuel costs decrease over the last year. With these big swings in fuel costs, customers need more stability. An increase this large does not need to happen right now.

We Need a Cap on Rate Increases

Over the last four years, we have seen a troubling trend of utilities raising rates more often and in higher amounts. With utilities asking for multiple increases each year, it can be challenging to know how much of an increase customers are facing.

We saw this with PGE’s increase in January 2024. While PGE’s original ask was a rate increase of 14%, multiple requests ended up pushing rates up by 18%. The final numbers were not calculated until mid-December 2023 before showing up on customer bills on January 1, 2024. This trend extends to other electric customers, as well as customers of NW Natural and other gas utilities.

To combat this, CUB is proposing a new way of regulating how utilities can increase bills. CUB is proposing that the Oregon Public Utility Commission put a cap on rate increases. We are asking the Commission to limit rate increases to 7% plus inflation or 10%, whichever is lowest. This cap would apply to the cumulative increase customers see over the course of a year. Any requests over that cap would be pushed into the next year or beyond.

In normal circumstances, it should be rare for utilities to increase rates by more than 10%. Unfortunately, we have seen a growing pattern of Oregon’s for-profit utilities asking for 15-20% increases nearly every year for the last four years. This is a call to Oregon regulators for all for-profit utilities, not just NW Natural.

CUB is Pushing to Lower NW Natural’s Increase

While we are calling for regulators to cap this request at 10% for this fall, CUB is also working to lower the overall increase.

We’re investigating NW Natural’s claims for each issue outlined below (and more!). Over the next months, we will be submitting our analysis of what costs we think are reasonable to pass to customers—and what costs are unreasonable.

What’s Included in NW Natural’s Request

NW Natural is asking for $154.9 million, $110 million of which would be charged to Oregon households.

The gas utility’s $154.9 million request includes:

• Higher profit margins
• Expanding subsidies for growing the gas system
• Higher bills for customers in new gas buildings
• Changing accounting for how customers pay for large investments
• Infrastructure upgrades

Higher Profits

NW Natural is attempting to increase its profits by over a million per year. Regulators at the Oregon Public Utility Commission set how much profit utilities are allowed to make. NW Natural is asking to increase profit margins from 9.4% to 10.1%. In comparison, Oregon’s other for-profit utilities are currently allowed 9.4-9.5% returns.

Expanding Subsidies for Growing the Gas System

Existing customers pay for expanding NW Natural’s business through a subsidy called a “line extension allowance.” This subsidy is often paid to building developers, encouraging new homes to be built with gas.

In 2022, state regulators ordered that NW Natural must reduce the number of customer dollars it spends on expanding its gas system. That year, each new gas hookup cost customers $2875. Regulators required NW Natural to lower that amount each year, allowing only $1380 by the end of 2024.

NW Natural is now trying to increase the subsidy for growing its system to up to $3,600 per new building. This is a 25% increase from what regulators struck down not even two years ago. Expanding this subsidy could cost customers tens of millions per year.

CUB will continue to push back on these subsidies and encourage regulators to reduce them. In the face of climate regulation, it is not good for customers to pay for the gas utility to expand its system. More customers means more fossil fuel use and NW Natural has not shown how it can affordably reduce emissions.

Higher Costs for Customers in New Buildings

NW Natural is attempting to create a new billing structure where customers in buildings with new gas hookups pay almost 200% more than existing gas customers. With the proposed change, an existing customer pays a $10 flat fee for service. Meanwhile, a customer living in a building added to the gas system after November 2024 would pay a $26.25 flat fee for service.

If implemented, this would mean that moving to a new home could wildly increase the amount you are paying for gas. And this different rate would continue forever. Imagine five years from now moving to a home of the same size, using the same amount of gas, and having your gas bill double because someone this year decided to hook up to NW Natural’s system.

As Oregon sets out to build more housing across the state, this could pose a real threat to the affordability of living in new construction. Affordable housing projects are not excluded from this proposal, meaning low-income families could be paying the price for a housing developer’s choice to install a gas stove.

Because of the subsidy for new hookups outlined above, developers have a real incentive to install gas appliances. The combination of more money for new gas hookups and higher rates for those who live in these buildings is a disaster for customers. CUB will be fighting this proposal.

Changing Accounting for How Customers Pay for Large Investments

While a change in accounting may sound innocuous, this is actually one of the largest items in NW Natural’s request at about $34 million.

When a utility makes a big investment like a new power plant or upgrading a pipeline, customers don’t pay for it all at once. Instead, those millions of dollars are spread out over many years (and sometimes decades). But these new pipes or equipment have a limited lifespan before they need to be replaced again. So a pipeline upgrade costing $1 million could be only useful for 10 years but customers are paying for $50,000 over 20 years.

NW Natural is proposing a change that would limit the timeline for customers paying for new investments to the useful life of the infrastructure itself. This change would be applied to charges already in customers’ bills. Suddenly that $1 million pipeline needs to be paid off in 10 years instead of 20, raising bills in the short term.

While this accounting is generally something that CUB supports, the huge cost to customers in the short term is concerning.

Infrastructure Investments

NW Natural is proposing a number of infrastructure investments go into customers’ bills this year. While CUB understands that utilities need to make upgrades to keep the system running, we are unsure if these investments are reasonable.

It is worth noting that utilities can only make a profit off of new investments, so they have an incentive to spend more money on these items.

• Proposed investments include:
• Software upgrades ($21 million)
• Office building upgrades (estimated $13.3 million)
• Pipe replacement in the North Coast Feeder ($9 million)

CUB is looking into the software upgrades and building upgrades closely. We expect the pipe replacement to be a reasonable cost for providing safe and reliable service to customers.

Customers and Advocates Can Join the Process

While CUB is hard at work digging into NW Natural’s request, we cannot do this alone. This March, customers and advocates will have the opportunity to share their stories with regulators. Regulators must hear how an increase this large would impact real people.

Public Hearing

There will be a virtual public hearing:
6 pm - April 16, 2024
Join via Zoom

At these hearings, regulators at the Public Utility Commission will hold space for community members to weigh in. For more information on what to expect at these hearings, check out CUB’s blog: Speaking Up on Utility Issues: Public Comment Hearings

If you are interested in receiving updates and more information like testimony guides, you can sign up with CUB.

Written Comments

Whether or not you can make the public hearings, written comments can also go a long way. The Public Utility Commission is accepting public comments via email, phone, or mail now through April 24.

By email – .(JavaScript must be enabled to view this email address)
By Mail - Oregon Public Utility Commission, Attn: Public Comment, PO Box 1088, Salem OR 97308-1088
By Phone - at 503-378-6600 or 800-522-2404 or TTY 800-648-3458 on weekdays from 8 a.m. - 5 p.m.

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.

Donate to CUB

To keep up with CUB, like us on Facebook and follow us on Twitter!

CUB Welcomes Claire Valentine-Fossum, Staff Attorney

CUB is excited to welcome Claire Valentine-Fossum as our new Staff Attorney. Claire’s lifelong commitment to social justice led her to attend law school with the goal of using the power of the law to address energy regulation’s role in equity and sustainability. 

Claire is incredibly motivated and dedicated to energy work. While taking a full course load in law school, Claire concurrently received her Master of Energy Regulation and Law and Certificate of Land Use Law.

Following law school, Claire clerked for the office of Administrative Law Judges at the Federal Energy Regulatory Commission. Following this clerkship, Claire worked with a private law firm in Washington, D.C. After returning to Oregon, Claire worked for the Oregon Public Utility Commission as a policy analyst on resource planning and environmental justice issues. There, her coworkers recognized Claire for her intrepid character, a critical trait she carries with her in her new role advocating for the interests of Oregon’s residential utility customers.

Having grown up in Portland, Oregon, Claire is excited to now be working for the state’s ratepayers. When she’s not reading, Claire can be found biking around Portland, exploring the coast, or daydreaming in the garden. 

Welcome, Claire!

Utilities 101: Move In / Move Out Checklist

Moving is already a stressful undertaking with packing, unpacking, and dealing with transportation. Adding utilities on top of that is just another headache. To help, we have compiled a move-in/move-out checklist for your utilities.

Move In

Consult with your utility company or landlord about the average energy usage for the unit or home for the previous year
In many cases, you can request information about the previous year’s energy costs from your utility provider. This can help you know what to expect from your energy bills in your new home and budget accordingly. Simply call the service provider of your new home and ask what the last 12 months of usage was.

Tip: This can be done before signing your lease or purchasing a home.

Renters: Determine what is included in your rent

Many apartment complexes will tie in certain utilities to your rent, such as water and sewage, at a flat rate. This means that you don’t have to set up those utilities under your own name. Check your lease to make sure that there

Establish New Service

For utilities that are not included in your rent, find out which utility companies service your area and set up those utilities before moving in. You can establish service with a utility provider either through their website or over the phone. Having the lights on before you move in will make unpacking much easier!

Unsure who provides services to your new home? Find your utility providers

For Renters
If there is an outstanding bill from a previous tenant, you are not responsible for covering that amount.

If you can’t get utility service because of someone else’s unpaid bills, you can:

• Pay the bill and deduct it from your rent;
• Reach an agreement with the landlord as to how the bill will be paid and get the agreement in writing; or
• Immediately end the tenancy by telling the landlord what happened and explaining that you will not keep the unit.

If you immediately end the tenancy, the landlord has 4 days to return the prepaid rent and your refundable security deposit. If the rental agreement is terminated and the landlord fails to return the money owed to you, you are entitled to twice the amount wrongfully withheld.

If you are a new homeowner and the previous owner has left unpaid balances for utilities connected to your home, public utility companies for things like water and sewer may place a lien on your home. For private utility providers, they may send the past due balance to collections under the previous owner’s name. If you find yourself in this situation, you may want to consult with a lawyer about the best next steps.

Locate the Breaker Box and Water Meter

If your lights go out at night, knowing where your breaker box is ahead of time will make it much easier to traverse your house in the dark. Knowing where your water meter is and how to read it will help you in case of a leak.

Move Out

Pay Off Any Remaining Balances

Be sure to pay off any remaining balances that you carry with your utility companies. It can be easy to forget when you’re busy moving, but those past-due balances can be sent to collections and damage your credit.

Discontinue Service

When it comes time to move, be sure to discontinue your utility services for your previous address. You may do so either through your provider’s online portal or over the phone.

For an easier time disconnecting, mention that you are moving. Some providers can easily switch your account over to a new address in the same phone call.

Update your mailing address

If there is an issue with your utilities from your previous address, you want to make sure you stay in the know. Update your postal address as soon as possible to ensure that you receive any outstanding bills or updates from your provider, as well as all your other mail.

Happy Moving!

Congratulations on your new place, and we hope that this guide has taken a little stress out of the process for you. Here’s to a stress-free and smooth transition between homes!

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.

Donate to CUB

To keep up with CUB, like us on Facebook and follow us on Twitter!

Customers Speak Out Against Idaho Power Bill Increase

The Public Utility Commission will be accepting public comments on the Idaho Power Rate Case through April 14, 2024. If you would like to add your comments, you can do so using CUB’s Action Form or by emailing .(JavaScript must be enabled to view this email address) with the subject line “Public Comments on UE 426”.

On Wednesday, March 14, the Public Utility Commission held a public hearing on Idaho Power’s general rate case. The electric utility is asking for a 27% increase for residential customers.

While this is not a complete list, the utility is asking for $10.7 million from Eastern Oregon households for the following areas:

• Wildfire management (tree trimming, vegetation removal)
• Growing its system (more customers, more energy needed)
• General inflation (more expensive materials)
• Shareholder profits

Idaho Power is also asking to increase profit margins to benefit its shareholders. Community members, including some CUB partners, spoke up against increasing bills.

Concerns of Higher Bills for Struggling Families

Throughout the public comment hearing, Oregonians expressed concerns about rising utility bills during a period of historic inflation.

Balbina Torres of Community in Action commented stating concern for her clients who were already on a fixed income and having difficulty paying their bills. “I work with Community in Action with the energy assistance department, I have noticed many households with a fixed income–most of them have a high past due balance or they’re just barely making it. I feel with this increase, it would put them in a larger financial hardship.”

One customer, Julie, asked for a breakdown of spending. “It doesn’t give a clear breakdown–with an increase like 20% over, the public should be able to see that. I don’t even qualify for the [lowest amount]. If this was passed, would the income guideline be revised to factor in the increase in utilities?”

CUB Will Continue to Fight Idaho Power’s Request

The Public Utility Commission will decide on this rate case by October 1, 2024. Any increase in rates will take effect for Idaho Power customers on October 15.

CUB’s policy team will continue to advocate for Oregon households, fighting unfair rate increases. To read more about the details of this rate case, visit this recent post on the CUB Blog.

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.

Donate to CUB

To keep up with CUB, like us on Facebook and follow us on Twitter!

CUB and Oregonians Call for Regulators to Dismiss PGE’s Increase Request

Despite an 18% increase in January, skyrocketing bills, and heavy outcry from customers, Portland General Electric (PGE) is asking for another 7% rate increase. PGE households’ bills have already gone up by 30% since December 2022. Now, we are calling on regulators to dismiss PGE’s latest bill increase request. Enough is enough.

We need your help in sending regulators a clear message: Now is not the time to entertain PGE’s unreasonable request to raise bills.

What is PGE Requesting?

PGE has requested $202 million (7.2%) under the guise of needing more money for battery storage projects. Despite that, only about $17 million of the request is actually for battery storage.

While battery storage is the talking point, the case is much more of a wish list by management:

• Higher profit margins
• Making it easier to raise prices every winter
• Shifting financial risk to customers

PGE is Asking for Increases Regulators Already Rejected
In 2023, the Public Utility Commission rejected higher profit margins, shifting financial risk to customers, and more. CUB, advocates, and the Commission just spent nine months litigating these requests. Asking for all of these items again is a waste of time and resources, especially when nothing has changed.

CUB is Asking Regulators to Dismiss PGE’s Request

In a motion filed to the Oregon Public Utility Commission, CUB asked regulators to reject PGE’s 7.2 percent increase for customers. PGE customers just saw bills increase this January. We argued that there has been no sufficient change for the utility since regulators set new rates just weeks ago in December 2023. This request to dismiss is supported by the Green Energy Institute and the Alliance of Western Energy Consumers.

“We’re asking the Commission to do something they have never done before. We are seeing historically high bills for many PGE customers and we need regulators to do something bold and unprecedented. Now is the time to flip the script and show our utilities that consumer protections come before profits.” - Bob Jenks, Executive Director

CUB has also offered the Commission an alternative in its Thursday filing. If they are not willing to dismiss the entire case, the motion also includes an option to severely limit the scope of what PGE can request. This would include removing all of the items that the Commission just ruled against in December (higher profits, less financial risk for shareholders, and more).

Stop the Groundhog’s Day Loop of Requests

We cannot keep allowing utilities to continuously ask for the same bad policy over and over again. Instead of re-living these issues, regulators have a chance to flip the script. They can reject PGE’s request and send a strong sign to all utilities that customers come first.

We need regulators to hold the line and stop the Groundhog’s Day loop of unaffordable utilities. CUB and other advocates are calling on regulators to dismiss this request. In the case that this is too big of a pill for regulators to swallow, we are asking them to severely limit what PGE can request in this case. Since PGE is focusing on the need to pay for battery storage, there is no need to include a management wishlist.

Get Involved! Tell Regulators Enough is Enough.

Now is the time for regulators at the Public Utility Commission to step up and reject PGE’s request. Join CUB and ask the Commission to dismiss PGE’s request to raise customers’ bills.

Sign the petition: No Higher Bills for Higher Profits

This is a request that has never been done in Oregon. We know that it is going to be a tough sell for regulators. But bold action is needed from the Commission to protect Oregonians against skyrocketing utility bills.

Oregonians Are Speaking Out

Already, we’ve seen a groundswell of outcry over PGE’s latest proposed increase. More than 500 people have sent comments to the Oregon Public Utility Commission.

This is a massive amount of comments for a government body that most people have never heard of. Similar cases rarely receive even 100 comments.

Read some of what PGE customers are saying:

“I can’t hardly afford electricity anymore, people will lose their houses because they either keep warm and can’t pay their mortgage or they pay their mortgage and have to be cold” - PGE Customer, Gresham

“ Please do not approve PGE’s request for a rate increase. They already got one, and it’s been devastating. Everyone I know was horrified by their increased energy bills this year. The average person’s wallet is already strained right now, between out-of-control grocery prices, rent increases, and employers refusing to give anyone enough hours to live on. My family is struggling financially. We can’t possibly “save energy” any more than we already are, and we can’t possibly “save money” on anything else. There are no frivolities left to cut. We don’t have streaming services or cable TV. We don’t go out to eat anymore. We have the cheapest internet and phone service we can get that meets our work needs. We can barely afford basic necessities. Yes, we know about their income-qualified discount—it barely helps at all. It is PGE’s turn to be more responsible with their money. Please don’t let them hurt us even more.” - PGE Customer, Salem

“Please do not let PGE raise their rates again. We have no other option for electricity where I live and we can not afford to keep the lights on and feed our families.” - PGE Customer, Banks

“I understand the need for updating infrastructure, but before any more rate increases are approved for PGE there needs to be increased fiscal oversight and accountability. The latest bill for my family of four who lives rural with an electric furnace we NEVER use was $388. When we moved to our home in 2022, the same usage would have cost us $271. Neither my husband who works private sector or myself who is a government employee have received any wage increase to help offset the rising cost of living. Electricity is a necessity. I ask for some serious review and consideration on this proposal before people are forced to live in the dark” - PGE Customer, Scotts Mills

“For the love of all that is good and holy (and my bank account), do not raise the rates again. I will cry.” - PGE Customer, Beaverton

Want to add your voice and speak out against another PGE rate increase?

Tell the Commission What You Think!

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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CUB Protects Customers in the Oregon Legislative Session

The 2024 Oregon State legislative session has officially ended. While the short session was just 35 days, CUB is proud to say that all the bills we supported are on their way to the Governor’s Office.

Right to Repair (SB 1596)
After years of work, the Oregon Legislature has finally passed the Right to Repair Act (SB 1596), the strongest of its kind in the country! Now, Oregonians will have the ability to repair our electronics either ourselves or through a third party. Repairing home and personal electronics is less expensive than buying new ones. And it is better for the environment by reducing e-waste and lessening demand for new electronics.

Right to Repair requires manufacturers to allow the public access to necessary parts, tools, and repair manuals for many electronics. This new law covers computers and other electronic home appliances manufactured after July 1, 2015, and smartphones manufactured after 2025. CUB has advocated for this bill for many years and proudly supported it again this year. Now, Oregonians can keep devices working longer, reducing waste and pollution. Read more about this bill here.

Climate Budget: Healthy Homes and Heat Pumps for Renters
As part of SB 1530, several Climate Budget requests passed with overwhelming and bipartisan support. The Healthy Homes Program received $15 million to support affordable energy bills and resilient housing through whole-home energy and weatherization upgrades. The bill also provides $4 million for Oregon’s Residential Heat Pump Fund and $3.5 million to provide air conditioners and air filters to Oregonians in need. Read more about this bill here.

Battery Energy Storage Systems Permitting Pathways (HB 4015)
HB 4015 passed through the Oregon Legislature. This bill makes it easier to build battery storage by integrating battery storage system permits with existing renewable energy projects. Battery Energy Storage Systems allow renewable energy to be stored and used later. This increases resilience, helps prevent blackouts, and makes renewable energy more available when we need it.

Oregon Regional Energy Market Update (SB 1581)
The Oregon Regional Energy Market Update (SB 1581) passed this legislative session. This new law requires our largest for-profit electric utilities to provide an annual report on regional market planning to the Legislature. By pooling resources with neighboring states and joining a regional energy market, we can all move toward a clean energy future together.

Family Financial Protection Act (SB 1595)
The Family Financial Protection Act (SB 1595) passed out of the Legislature this session. It will help give Oregonians more fairness in debt collections by updating our laws to ensure folks can get back on their feet. CUB supports this new law because it can protect customers sent to collections for outstanding utility bills. Read more about this bill here.

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.

Donate to CUB

To keep up with CUB, like us on Facebook and follow us on Twitter!

Idaho Power Customers Can Weigh in on Rate Increase

This spring, Idaho Power is asking regulators to approve a new bill increase for Oregon customers. At 27%, this staggering increase request is the first in over a decade

Idaho Power customers and community advocates will have a chance to weigh in on this rate case at two public hearings, one virtually on March 14th at 6 pm MT/7 pm PT via Zoom and in person on March 20th at 6 pm MT/7 pm PT in Ontario. Regulators will make a final decision in October. New billing rates will go into effect on October 15, 2024.

What Customers Could Expect in 2024 Bills

Customers in Eastern Oregon could see an increase of $30 per month for average households. The proposed 27% bill increase will have an even bigger impact during months when heating or air conditioning is turned on.

Idaho Power Customers Can Weigh in on Rate Increase on March 14th and 20th

Public Hearings
March 14 - Public Hearing, 6 pm MT/7 pm PT - via Zoom
March 20 - Public Hearing, 6 pm MT/7 pm PT - in Ontario

March 14th, 2024
Zoom information and call-in options for the public hearing on March 14th are available here. Spanish interpretation is available free of charge. Any additional accommodations must be requested by the Public Utility Commission 48 hours in advance (see link for instructions on requesting accommodations).

March 20th, 2024
Information for the in-person public hearing on March 20th is available here. Public comments at this meeting will be recorded and transcribed. Spanish interpretation is available free of charge.

Idaho Power customers and advocates representing organizations are welcome to share comments at this hearing. (Any organization that has filed as an intervenor in this case should not provide comments at this hearing.)

What to Expect at the Public Hearing
This public hearing is hosted by the Oregon Public Utility Commission (PUC). The event will begin with brief presentations from PUC staff to explain the rate case process. Anyone interested in making comments will be allowed to speak after these presentations. The comment period will be open until at least 7:00 pm. That period will be extended if more time is needed for everyone interested in commenting. For more information on what to expect at this public hearing, see CUB’s full explainer.

Those interested in speaking can use this Testimony Guide to plan out comments.

Can’t make it to the hearing?
You can also use this form or email .(JavaScript must be enabled to view this email address) to submit comments directly. Make sure to include “Comments on UE 426” in the subject!
Phone comments are accepted at 503-378-6600. Submit comments by April 14th for the biggest impact.

What is Included in This Rate Increase
Overall, Idaho Power is requesting $10.7 million more from all Oregon customers each year. They are asking residential customers to cover $4.9 million of the total increase. Since this is the first rate increase request since 2011, the investments have added up.

Wildfire Management
Utilities in Oregon are required by state law to have wildfire mitigation plans. Idaho Power’s costs in managing wildfire risk have gone up significantly. Vegetation management (tree trimming, etc.) alone has increased to $25 million per year.

Growing the Energy System
Idaho Power’s system has grown by more than 100,000 customers. This means it has needed to procure more energy to meet customers’ needs. The utility has also worked to improve infrastructure for better reliability, such as investing in battery projects. Most of that growth comes from Idaho. Only 500 new customers have been added in Oregon.

General Inflation
Overall costs have gone up significantly, making the cost of providing energy more expensive. For example, the price of the steel that goes into much of the infrastructure has gone up 203% since 2020 alone.

More Profits
Idaho Power is asking to drastically increase profit margins from 9.9% to 10.4%. In comparison, Oregon’s other for-profit utilities are currently allowed 9.4-9.5% returns. This would make Idaho Power the highest-profiting utility in Oregon.

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.

Donate to CUB

To keep up with CUB, like us on Facebook and follow us on Twitter!

PGE Asks for Even More Rate Increases

Despite an 18% increase in January, skyrocketing bills, and heavy outcry from customers, Portland General Electric is asking for another rate increase. PGE is requesting an increase of $202 million or 7.2% for residential customers on January 1, 2025.

The utility company said in a statement to the press that it wants to “raise customers’ rates so that it can make investments in battery storage and other infrastructure improvements.” CUB’s review has found that the increase is unnecessary and PGE’s claims about it are misleading.

Thousands of PGE customers are still reeling from the rate increase and ice storm bills this January. PGE’s rates for Oregon households have already gone up by 30% from December 2022 to January 2024. Now is not the time to request even more from Oregon households.

Enough is enough.

$202 Million is Just the Starting Point

PGE has requested $202 million under the guise of needing more money for battery storage projects. This is not a forecast of 2025 prices – the January 1, 2025 price increase could be much greater.

This case does not include wildfire mitigation costs or costs associated with the Colstrip coal plant. CUB expects the utility to ask for both in additional filings later in the year. It also does not account for planned updates to wholesale power and fuel prices, which will be added in the fall.

These nickel and dime increases are an ongoing problem for customers of Oregon’s largest electric utility. We need regulators to step up and stop endless bill increases. (Read More: Is Oregon Utility Regulation Part of the Problem?)

Battery Storage is the Excuse, Not the Cause of this Increase

PGE cites new battery storage investments as the primary cause of this filing. But CUB’s review of the case found that battery storage will have little effect on January 1, 2025 rates. The filing includes the new Constable Battery Storage project, but the cost associated with that is $17.3 million (8.5% of the $202 million increase).

This project is currently projected to come online on December 31, 2024. This means that any delays will mean that it could easily not be serving customers when rates go up. PGE could be asking customers to pay more for batteries that aren’t even turned on.

While battery storage is the talking point, the case is much more of a wish list by management:

• Higher profit margins
• Making it easier to raise prices every winter
• Shifting financial risk to customers

Higher Profit Margins

In 2023, PGE asked to increase its profit margin but failed to achieve that increase. Even though that decision is only weeks old, PGE is back asking for an increase in shareholder profits.

Portland General Electric currently receives a 9.5% profit margin. They want to increase to 9.75%, which is slightly below the 9.8% that they requested that regulators rejected in December 2023. This would add over ten million dollars to customer bills each year.

Making it Easier to Raise Prices Every Winter

PGE rates have increased by 30% since December 2022. Many customers have struggled to pay the huge bills associated with the cold January weather. But somehow the utility thinks that the problem with utility regulation is that it is too hard to raise rates. So they are proposing making it easier.

“It looks PGE’s diagnosis is that it’s too hard to raise rates and customers’ bills aren’t going up enough. They are looking at bills from the ice storms in January and seem to be asking, ‘How can we do more of this?’” - Bob Jenks, CUB Executive Director

PGE has proposed a new policy that will allow them to add billions of dollars in new investment to customers’ bills in rate changes every January. All without having to go through the work of a traditional regulatory process.

Guaranteed Increases Every January: PGE wants to guarantee new investments go into effect on January bills. This is when customer usage is the highest and the company will get the most immediate revenue.

Incentive to Overspend, Increase Profits: PGE is projecting half a billion dollars could be passed to customers each of the next two years under the new system. However, this new policy would only raise the incentive for the utility to overspend because it is easier to charge customers. These investments would be functionally unrestricted, as long as they are justifiable. Some costs could include vital infrastructure updates (new transmission, safety upgrades, etc.). CUB is unsure of what kinds of investment would be excluded from this mechanism. 

Shorter Timelines for Advocate Review: PGE wants to shorten the time that CUB and other stakeholders are allowed to review their requests. This time is vital to dig into investments to make sure they are reasonable and useful for customers. Currently, advocates and regulators have about nine months to review a request. PGE is looking to shorten that to just three months.

Open the Door to Excess Profits. Under PGE’s proposal, new capital investments would be added to rates each year without accounting for the fact that customers are paying off existing investments. Imagine you finish paying off your car payments and then buy a new car. Then the car dealer charges you car payments for the new car but keeps charging you for the car you paid off. This will similarly allow PGE to earn excess profits.

No Shareholder Accountability: PGE wants to prevent CUB from examining its earnings to identify these excess profits and ask that shareholders contribute to the new investments. The mechanism gives the company profits above the level set by regulators and then hides these excess profits from scrutiny.

This proposal suggests that decision-makers at PGE are completely out of touch with their customers. Customers have struggled with the January rate increase combined with the arctic weather.

Social media has been filled with stories of bills that $100 to $200 more than normal. (The author of this blog paid $250 to PGE for heating their 700-square-foot apartment this January.) We know from history that many people struggle with the big increases. And thousands of customers are struggling to pay off those big January bills. Many customers unable to pay these bills will face shut-offs.

Yet, somehow, PGE’s response is to declare that they want to ensure big January increases happen every year.

Shifting financial risk to customers

PGE will also be re-proposing to leave customers on the hook for fluctuating fuel costs. It would also reduce financial responsibility for shareholders. Regulators rejected this proposal in December 2023.

Under Oregon rules, utilities are allowed to update the forecasted cost of fuel for electricity generation each year. The cost of electricity, natural gas, and coal has increased power costs for PGE customers. Globally, the cost of energy has increased due to global supply interruptions from recent geopolitical conflicts.

PGE wants to change how they adjust customer bills for power costs each year. Under the new policy it is seeking, the costs would be subject to an annual “true-up.” Each year, the utility estimates costs for fuels. In the new system, customers would cover 95% of the difference between what the utility spent and what was predicted.

This goes against existing standard business practices for Oregon utilities.

This Rate Increase Did Not Need to be Filed

Simply put: This rate increase did not need to be filed at this time.

Much of what PGE is asking for are things that they did not get last year. And the thing that they point to as the need for the case, battery storage investments, may not even be online by January.

If battery storage is the cause for PGE to file a rate case, then this is premature. It would have made much more sense for PGE to make its investments in battery storage first. Then, when those investments were providing customer benefits, filed for a rate increase.

But what is clear is that this case, filed now, was unnecessary.

CUB sees little to like in this new filing and will vigorously oppose it. Customers cannot afford it.

Enough is enough.

Idaho Power Asks for 27% Increase for Oregon Customers

This year, Idaho Power is trying to raise rates for the first time in over a decade. The electric utility is asking regulators to approve an increase of nearly 27%. Customers in Eastern Oregon could see an increase of $30 per month for average households. Idaho Power serves customers around the Ontario region and throughout much of Malheur County.

An increase of this size could be incredibly damaging for customers. Eastern Oregon is already one of the most energy-burdened areas in the state. In a region where many people are struggling to afford electricity, an additional $30 per month could cause massive issues for families’ budgets. This increase could be even higher during months when heating or air conditioning is turned on. CUB is concerned about an increase of this size leading to a rise in disconnections.

We will be digging into Idaho Power’s request over the coming weeks and months. CUB will push back on unreasonable requests. In March, customers will have an opportunity to speak out.

What’s in the Proposed Increase?

Idaho Power is asking for Oregon customers to pay more for investments over the last decade. Since this is the first rate increase request since 2011, the investments have added up significantly. Since then, Idaho Power has invested $3.3 billion in its system. Now, the utility is trying to add $10.7 million of that to Oregon households’ bills.

While this is not a complete list, the utility is asking for more money for the following areas:

• Wildfire management (tree trimming, vegetation removal)
• Growing its system (more customers, more energy needed)
• General inflation (more expensive materials)
• Shareholder profits

Idaho Power is also asking to increase profit margins to benefit its shareholders.

Investments

Wildfire Management
Utilities in Oregon are required by state law to have wildfire mitigation plans. Idaho Power’s investments in managing wildfire risk have gone up significantly in recent years. Vegetation management (tree trimming, etc.) alone has increased to $25 million per year.

Growing the Energy System
Idaho Power’s system has grown by more than 100,000 customers. This means it has needed to procure more energy to meet customers’ needs. The utility has also worked to improve infrastructure for better reliability, such as investing in battery projects. Most of that growth comes from Idaho. Only 500 new customers have been added in Oregon.

General Inflation
Overall costs have gone up significantly, making the cost of providing energy more expensive. For example, the price of the steel that goes into much of the infrastructure has gone up 203% since 2020 alone.

More Profits

Idaho Power is attempting to increase its profits from Oregon customers. Regulators at the Oregon Public Utility Commission set how much profit utilities are allowed to make. Idaho Power is asking to increase profit margins from 9.9% to 10.4%. In comparison, Oregon’s other for-profit utilities are currently allowed 9.4-9.5% returns.

Oregon Customers are Being Treated Unfairly

While Idaho Power serves a portion of Eastern Oregon, only about 2% of its customers are in Oregon. The vast majority of its customers are in Idaho. Last year, the utility asked Idaho regulators for more money from Idaho customers. The company didn’t get everything it wanted in Idaho, so CUB suspects it is now trying to make that up in Oregon.

A Pattern of Asking for Too Much

In Idaho, last year the utility asked regulators for a 10.8% increase. They were only given a 4.29% increase for Idaho customers. Now, they’re turning to Oregon to make up the difference. Although it has been over a decade since Idaho Power asked Oregon customers to pay for increased expenses, a nearly 27% increase is far too much.

More Profits: In Idaho, regulators approved a 9.4% profit allowance at the end of 2023. This is in line with what other utilities in Oregon are allowed. Idaho Power is now seeking a 10.4% profit margin in Oregon. Not only would this be a major difference in what is allowed in Idaho, but it would also be vastly different than other Oregon utilities.

Creating a Gulf Across a River

Idaho Power’s territory in Oregon centers around Ontario, just a river away from the rest of its customers in Idaho. As of this year, a typical Idaho customer is paying $111.69. With the Oregon increase, customers using the same amount in Oregon would pay $123.27.

Oregon households on Idaho Power’s system use more energy on average, so the actual average is higher for Oregon homes. If this request is approved in Oregon, a typical customer in our state could be paying $135.95.

Growing the Energy System: Most of the additional expenses come from the growth in Idaho. Oregon customers should not be paying more for system upgrades that largely benefit Idaho customers. Because Idaho Power didn’t get the money it wanted in Idaho, it’s trying again in Oregon.

Regulators Must Protect Customers

People in Eastern Oregon make less money and spend more of their income on electricity than in other parts of the state. Adding $30 a month all at once could be catastrophic for many people’s budgets. These increases would go into effect overnight, right before the winter heating season.

Regulators need to protect customers who are already struggling to make ends meet.

Spread the Increase Over Multiple Years

Idaho Power waited 10 years to ask customers to pay for system investments. They cannot expect customers to start making up for a decade of the company’s delay overnight.

Spreading the increase over multiple years would help customers stabilize. This could also prevent a wave of disconnections as people are slammed with significantly higher bills. A slower rollout will also help assistance programs create a plan to better meet the needs of people who cannot afford the increase.

Roll Out Low-Income Discount Programs

In 2021, the Oregon State Legislature passed the Energy Affordability Act. As a result, regulators have been working with for-profit utilities to create discount programs for low-income customers. Because Idaho Power is smaller and made up of lower-income customers than other utilities, it has been given more time.

After completing a low-income customer needs assessment last summer, Idaho Power filed a proposed low-income discount program. Now, we need them to make this program a reality for customers. This program would offer monthly discounts for all income-qualified customers who enroll. Other utilities have 15-75% savings.

We need advocates to be able to be involved and for the process to be public and transparent.

Creating these programs requires a large amount of input from community stakeholders. Idaho Power has conducted several workshops to inform its program design. Unlike the other utilities, there has not been an opportunity for CUB and community members to engage more formally in reviewing this proposal.

This year, Idaho Power is asking that its proposed program be reviewed in its request for a rate increase. CUB and environmental justice advocates are concerned that this process could cut out community input on the program design. By putting this review in an already complicated proceeding, it is harder for a variety of voices to weigh in.

Limit Allowable Profits

Regulators set the allowable profit margins for Idaho Power. This means they can also lower the amount of profits. If Idaho Power is not able to be frugal with customers’ money, regulators can cut profit margins to lower rates. This would also encourage utilities to keep costs in check while saving customers money.

Reduce the Demand for Growth with Energy Efficiency

CUB is concerned that Idaho Power isn’t investing enough in efforts to reduce energy use on its system. By lowering demand for energy, the utility can also lower costs for customers. Energy efficiency helps to avoid expensive investments like new power plants.

Customers and Advocates Can Join the Process

While CUB is hard at work digging into Idaho Power’s request, we cannot do this alone. This March, customers and advocates will have the opportunity to share their stories with regulators. Regulators must hear how an increase this large would impact real people.

Public Hearings

There will be two public hearings:
6 pm (MT) - March 14: Virtual via Zoom
6 pm (MT) - March 20: In person in Ontario

At these hearings, regulators at the Public Utility Commission will hold space for community members to weigh in. For more information on what to expect at these hearings, check out CUB’s blog: Speaking Up on Utility Issues: Public Comment Hearings

If you are interested in receiving updates and more information like testimony guides, you can sign up with CUB.

Written Comments

Whether or not you can make the public hearings, written comments can also go a long way. The Public Utility Commission is accepting public comments via email, phone, or mail now through April 14.

By email – .(JavaScript must be enabled to view this email address)
By Mail - Oregon Public Utility Commission, Attn: Public Comment, PO Box 1088, Salem OR 97308-1088
By Phone - at 503-378-6600 or 800-522-2404 or TTY 800-648-3458 on weekdays from 8 a.m. - 5 p.m.

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.

Donate to CUB

To keep up with CUB, like us on Facebook and follow us on Twitter!

Switching to an Electric Heat Pump

The way you heat and cool your home has a big impact on your bill and the environment. According to Energy Star, nearly half of the energy used in your home goes directly to heating and cooling.

Most home energy systems last for ten to twenty years, so it’s important to choose the right heating and cooling system for your needs. Switching from a gas furnace to an electric heat pump can make a big impact on your bills and the environment.

In this blog, we’ll talk about heat pumps, how they work, and how to make the switch in Oregon.

What is a heat pump?

Heat pumps are a great solution for efficient electric heating and cooling. A heat pump is part of a home heating and cooling system that’s installed outside your home. Similar to a central air conditioning system, it can cool your home, but it can also provide heat.

During the winter, an electric heat pump pulls heat from the cold air and moves it into your home. During the summer, it pulls heat from the indoor air and pumps it outside to cool your home.

Electric heat pumps work differently than gas furnaces. While a gas furnace burns natural gas to generate heat, an electric heat pump transfers heat from the outdoor air to indoors. Because they handle both cooling and heating, homeowners may not need to install separate systems to heat and cool their homes.

Heat pumps can be ducted or ductless. A ducted heat pump works much like a traditional heating/cooling system. You set your thermostat to the desired temperature and the system blows that air throughout your home using ducts.

A ductless heat pump is installed in a wall, typically one facing outside. The small unit called a “mini-split” heat pump, heats and cools that individual room or section of the home.

I am happy that I made the switch to an electric heat pump. I burn less fossil fuel than before and consume much less energy while heating and cooling my home.
-Sudeshna Pal, former CUB staff

Read more here: My Experience Switching to an Electric Heat Pump

Are heat pumps more efficient than gas furnaces?
All HVAC systems come with an efficiency rating, usually measured by percentage. The percentage is the amount of energy used by the system vs. how much heat it generates (or removes when looking at cooling systems).

For gas heaters, the efficiency range is determined by the model type and the age of the furnace. According to Energy Saver, older, low-efficiency heating systems range between 56-70 percent efficient. A mid-efficiency system is between 80-83 percent. A high-efficiency gas furnace is between 90-98.5 percent.

Heat pumps, by contrast, are in the range of 200-300 percent efficient. This means that a heat pump will add or remove heat (thermal energy) from your home at a higher rate than it uses energy from the electrical grid. Heat pumps use significantly less energy than other HVAC options, saving you money on your bills.

Photo credit: Heat Pumps on the Rise

Ready to make the switch?

Now that you’re sure a heat pump is right for your home, here are some next steps for making the switch:

Review Incentives and Eligibility
There are several incentive programs available in Oregon for people who want to purchase an electric heat pump. The Energy Trust of Oregon currently offers cash incentives for people looking to make the switch.

You can also use the Energy Trust of Oregon’s incentive search tool to find incentives based on your residence type, utility provider, and zip code.

Gather Estimates and Find a contractor
When looking to install an electric heat pump in your home, choosing a contractor is a key step in making sure your energy efficiency project goes smoothly. Hiring an unlicensed contractor or one unfamiliar with the requirements of the job can lead to all kinds of issues. Thankfully, there are many resources available to make your project a success.

Try out the Energy Trust of Oregon’s Find a Contractor tool to look for a licensed contractor in your area. You can also use the following tips while looking for a contractor:

• Verify your contractor has the correct licenses for the job on the Oregon Construction Contractor’s Board website.
• Check online resources such as Angi (Formerly Angie’s List) or the Better Business Bureau to see how the contractor is rated.
• Review your bid and understand the work to be performed.
• Ask friends and family for recommendations.

Complete your Installation and Apply for your Incentive
Once you’ve researched incentives and found a contractor, the next step is to complete the installation of your heat pump. Your contractor should work with you to determine what will be the correct product for your home.

After your contractor has completed their work, you then can apply for your incentive. You can begin the application process by going to the Energy Trust of Oregon’s Online Application for Residential Incentives.

Applications must be received within 60 days of installation and need six to eight weeks for processing. Your contractor may help you with your application. Be sure you have the installation date, equipment serial/model number, and efficiency rating, and include a scan or legible digital photo of your contractor’s invoice.

Lastly, make sure to maintain your investment and enjoy your energy savings!

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.

Donate to CUB

To keep up with CUB, like us on Facebook and follow us on Twitter!

CUB’s 2024 Legislative Priorities

The 2024 session has officially started at the Oregon State Legislature. While it may be a short session (just 35 days), the impact of these sessions can be big for Oregon. This year, CUB will be working on several exciting bills.

Learn more about what we’re working on in this session below!

Top Priorities for 2024

Right to Repair (SB 1596)

The Right to Repair Act (SB 1596) expands your ability to repair your electronics either yourself or through a third party. Repairing home and personal electronics is less expensive than buying new ones and is better for the environment because it reduces e-waste and helps lessen demand for new electronics. Repaired, or refurbished, phones, tablets, and computers are more affordable, helping to expand access to the internet. Right to Repair would require manufacturers to allow access to necessary parts, tools, and repair manuals.

CUB’s Position: We have supported Right to Repair for many years and proudly support it again this year.

Climate Budget: Healthy Homes and Heat Pumps for Renters

While not a bill, there are many items in this year’s Climate Budget request that relate to home energy.

• Healthy Homes Program: $15M to support affordable energy bills and resilient housing through whole-home energy and weatherization upgrades.
• Charge Ahead Electric Vehicle Rebates: $20M to support equitable access to electrical vehicles for low- and moderate-income Oregonians.
• Worker Climate Fund: $9M to provide compensation for farm workers who lose income due to wildfire smoke and extreme heat
• Solar + Storage Rebate Program: $10M to increase access to renewable energy for low- and moderate-income Oregonians
• Oregon Rental Home Heat Pump Program: $5 million to help Oregonians install life-saving, efficient heat pumps in rental, manufactured, or recreational vehicle homes.

CUB’s Position: This budget builds on the many successes from last session’s Climate Resilience Package. We are proud to support more funding for the programs we helped pass last year.

Additional Bills CUB is Supporting

Battery Energy Storage Systems Permitting Pathways (HB 4015)

As we move forward with our state climate goals, utilities need more options for the energy grid. HB 4015 makes it easier to build battery storage by integrating battery storage system permits with existing renewable energy projects. Battery Energy Storage Systems allow renewable energy to be stored and used later. This increases resilience, helps prevent blackouts, and makes renewable energy more available when we need it.

Oregon Regional Energy Market Update (SB 1581)

While Oregon has made great strides in adding renewable energy, we cannot do it alone. Utilities need to consider joining a regional energy market along with neighboring states. By pooling resources with Washington, Montana, and beyond, we can all move toward a clean energy future together. SB 1581 requires our largest for-profit electric utilities to report regional market planning to the Legislature.

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.

Donate to CUB

To keep up with CUB, like us on Facebook and follow us on Twitter!

100% Clean Electricity: How Are Utilities Doing?

In 2021, Oregon passed the 100% clean electricity law (HB 2021).  This law requires Portland General Electric (PGE) and Pacific Power to reduce their carbon emissions by 80% by 2030 and 100% by 2040.  We’ve now had 2.5 years since it passed—how are our utilities doing?

Meeting 100% Clean Electricity

HB 2021 took effect on 1/1/2022 and we have emissions reporting data from that year. The baseline was established as the average emissions from 2010, 2011, and 2012.  PGE’s emissions have fallen by 27% from the baseline and Pacific Power has fallen by 13%. This means that in the 8 years between 2022 and 2030, Pacific Power needs to reduce its carbon emissions by two-thirds. PGE must reduce its carbon emissions by half.

Image: PacifiCorp & PGE’s Emissions

Regulators at the Public Utility Commission have been reviewing the Clean Energy Plans filed by the utilities. These plans lay out how each utility will comply with HB 2021. While PGE’s plan was partially accepted by the Commission, Pacific Power’s progress has been significantly stalled.

PGE: Headed in the Right Direction

In 2022, PGE’s emissions had declined by 27% from the baseline due to actions such as closing the Boardman coal plant combined with investments in clean energy and energy efficiency.  In addition, since 2022, PGE has taken additional actions such as developing the Clearwater Wind Farm in Montana. It has contracted from the region’s hydro facilities to help meet winter and summer peaks. And it has increased targets for energy efficiency investment to help customers reduce their power needs.

CUB believes that PGE has demonstrated that it is making significant progress toward meeting the HB 2021 requirements. But at the same time, we recognize that there are questions about the plan that have not been fully answered.

Markets: Utilities buy and sell power with each other to balance supply and demand.  The Western US lags behind the rest of the country in developing regional organized electric markets.  The result of this is that most power that is purchased or sold in the West is considered unspecified (the actual source of the power is not identified) and is therefore assumed to have the average emissions of the grid.  But there is a lot of work occurring to expand regional markets in the West which would allow tracking of energy from the source.  This will enable utilities in Oregon, Washington, and California, which have emission regulations, to purchase non-emitting power that comes from solar or wind resources in regional markets. This will reduce PGE’s emissions.  But when organized markets will begin tracking non-emitting energy is unclear.  And without conducting an IRP for the entire region, how much non-emitting energy will be available is uncertain. 

Methane Gas Plants: PGE owns several gas plants that use methane to generate electricity.  Under 2030 limits, PGE will only use these plants to serve load on days when demand is high (summer and winter peak) to minimize emissions. Regulators would like PGE to improve its hourly modeling to identify more closely how much these gas plants are running. 

Colstrip Coal Plant: PGE is one of the utilities that owns a share of the Colstrip coal plant in Montana.  Closing Colstrip will reduce PGE’s emissions.  However, because Colstrip is owned by several utilities and PGE owns a minority share, PGE does not control the decision over when the plant closes.  So it is unclear when Colstrip will be removed from PGE’s generation resources, but under Oregon law, the plant will not be allowed to serve customers after 2030.

PGE’s Clean Energy Plan Partially Accepted
Regulators concluded that PGE’s Clean Energy Plan will result in significant additional progress towards Oregon emission reduction targets. However, there are still open questions and a need for more refined modeling. The Public Utility Commission was unable to conclude that the plan would achieve the 2030 emission reduction targets. In January, the Commission accepted PGE’s short-term plan but asked for revisions to its long-term planning. 

Pacific Power: Struggling to Create a Plan

Evaluating Pacific Power’s plan to meet the HB 2021 requirements is more difficult. That’s because Pacific Power does not actually have a plan that meets the requirements.

Canceled Renewables: After a jury found Pacific Power liable for millions of dollars in wildfire liability damages, the utility has had tighter finances. Pacific Power canceled its plans to purchase an additional 1.5 gigawatts of renewables. Without these resources, the plan falls short of meeting Oregon’s emissions requirements.

Balancing Other States’ Interests: Pacific Power serves six states who share its resources, including Utah, Idaho, and Wyoming which are less concerned with emissions than Oregon. CUB is concerned that Pacific Power is overstating future emissions reductions based on the utility’s plan to serve all six states.  CUB reviewed Pacific Power’s six-state plans all the way back to 2008. We found that they always overstate future emissions reductions. As a result, we can’t reliably build off the multi-state plan and assume that it will meet Oregon’s HB 2021 requirements. 

Replacing Coal with Gas, Not Renewables: In 2016, Oregon passed the Coal to Clean law which banned coal power from serving Oregon customers by 2030. Oregon negotiated with other states for an agreement that would have Oregon exit the coal plants over the decade.  When HB 2021 passed, Pacific Power represented that as Oregon exited the coal plants, they would be replaced with renewable energy. This would have enabled Pacific Power to comply with emissions targets. However, Pacific Power developed new plans to convert the coal plants to gas (methane).  Oregon does not have an agreement with other states that allows us to exit gas plants and replace them with renewables. 

Pacific Power’s Clean Energy Plan Fully Rejected
After reviewing the utility’s plan, regulators are recommending stalling the process while Pacific Power makes major changes. Pacific Power plans to update its plans in March.  Regulators have asked for better modeling, and for the utility to reconsider replacing coal with gas, and more. CUB is waiting to see if the updated plan provides a clear path to comply with HB 2021.

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