Aug. 25, 2009
Docket Number: UE-090205

Editor’s note: This news release reflects the position of staff of the Washington Utilities and Transportation Commission (UTC) and NOT the views of the three-member commission. It discusses a staff recommendation that the commissioners have not yet reviewed. Any positions taken or comments offered by the commission staff regarding this proceeding should be attributed clearly to staff members and NOT to the UTC.

Olympia, Wash. – Staff members of the Washington Utilities and Transportation Commission (UTC) have reached a settlement today with all parties on PacifiCorp’s rate-increase request.

The proposed settlement agreement must be approved by the three-member UTC before taking effect. The commission is expected to make a final decision this fall. If the UTC approves the proposal, the new rates would take effect Jan. 1.

Under the settlement proposal filed with the UTC, commission staff members said the company should be allowed to collect about a third of its original request -- $13.5 million, or 5.3 percent, more a year in revenues. In February, PacifiCorp asked the commission for $38.5 million or 15.1 percent increase in additional revenues annually.

If the UTC approves the proposal, PacifiCorp’s average residential electric customer using 1,300 kilowatt hours-a-month would see an increase of $4.79, for a proposed $93.96 total bill. Customers could also see a 2 cent-a-month increase in their contribution to the low-income bill assistance program, from 44 to 46 cents monthly.

In addition to the UTC staff and the company, the three other parties in the case signed the settlement agreement making it unanimous. Each party represents a different PacifiCorp ratepayer group: residential customers, large businesses and low-income customers.

PacifiCorp customers will be able to comment to state regulators on the proposed utility rate increase at a public meeting in Yakima in October. The meeting is scheduled at 5:30 p.m. Monday, Oct. 12 in the Parker Room, Yakima Valley Community College, 1015 S. 16th Ave. Yakima.

The commission has received 17 comments, all opposed to the proposed rate hike by the company. Customers who are unable to attend the public meeting but wish to comment on the proposed rate hike can mail their correspondence to: P.O. Box 47250 Olympia, Wash. 98504, e-mail comments@utc.wa.gov or call toll-free 1-888-333-9882.

PacifiCorp, owned by MidAmerican Energy Holdings Co. of Des Moines, Iowa, provides electric service to about 130,000 customers in five Eastern Washington counties: Kittitas, Columbia, Garfield, Walla Walla and Yakima. The company serves cities including Yakima, Toppenish, Sunnyside, Selah, Toppenish, Pomeroy, Walla Walla and Dayton.

The UTC is the state agency in charge of regulating the private, investor-owned electric companies in Washington. It is the commission’s responsibility to ensure regulated companies provide safe and reliable service to customers at reasonable rates, while allowing them the opportunity to earn a fair profit.