Pacific Power trims 2025 Oregon residential rate hike request to 14.9%, cites ‘customer concerns about affordability’
PORTLAND, Ore. (KTVZ) – Pacific Power has significantly scaled back its proposed Oregon rate hike request for next year, in part due to customer criticism over the impact the earlier proposal would have on households and businesses across the state.
"Pacific Power filed reply testimony in the Oregon General Rate Case on Friday, proposing an overall 11.9% rate increase for customers, a significant reduction relative to the original rate request of 17.9% filed in February," the utility said in a statement shared with NewsChannel 21.
The utility said its revised its filing represents an overall reduction in its rate increase request from $322.3 million to $214.5 million.
The overall average rate increase for residential customers is 14.9%, compared to the 21.6% increase proposed earlier this year. The average residential customer using 950 kilowatt-hours per month would see a $21.49 increase on their monthly power bill, Pacific Power said.
A key change included in the Oregon General Rate Case reply filing is the removal of the Catastrophic Fire Fund "to allow for additional development of the fund proposal," the utility said.
"Pacific Power is also addressing customer concerns about affordability by reducing the return on equity from 10.3% to 9.65%," it said.
"Pacific Power remains committed to effectively managing our system in the face of rising costs driven by wildfire risk, an increasing number of extreme weather events and a changing energy landscape," the multi-state utility said. "The company also continues to make the investments necessary to provide safe, reliable and low-cost electricity to customers now and for years to come.
"We remain steadfast in our commitment to our customers and our communities and will continue seeking new ways to reduce impacts to customer bills. Pacific Power offers the Oregon Low Income Discount Program, which is helping over 43,000 of our most vulnerable customers across the state lower their power bills from 20% to 40%, depending on their income," the statement concluded.
In a web page providing background about the Oregon rate increase request, the utility claims to have the lowest rate per kilowatt hour among several large West Coast electric utilities, based on 2022 filings.
