Elon Musk. Twitter. Babylon Bee.

[Ken]

My Oregon electric rates are going up by 14.8% this year.

Is that for Madras or state-wide? What are they currently?

Here in Clark County WA they are currently 8.16% per kWh and they have announced that there will be no rate increases for 2023.

[RZehr]

My Oregon electric rates are going up by 14.8% this year.

Is that for Madras or state-wide? What are they currently?

Here in Clark County WA they are currently 8.16% per kWh and they have announced that there will be no rate increases for 2023.

Whoever has Pacific Power. I'm with Pacific Power.

https://www.kptv.com/2023/01/02/pge-pac ... customers/
PORTLAND, Ore. (KPTV) - The cost of power is going up.

Both Portland General Electric and Pacific Power have increased rates, effective Jan. 1.

SEE ALSO: Oregon’s new paid leave program goes into effect

The Oregon Public Utility Commission (PUC) says a typical residential customer of Pacific Power can expect an increase of 14.8% in monthly power bills. For instance, a bill of $91.89 will go up to more than $111.


Meanwhile, PGE customers can expect a 7% increase.

The impact will vary by household depending on actual energy usage.

“We recognize that increasing rates at a time when Oregonians are already dealing with high inflation presents challenges for many customers,” said Megan Decker, PUC Chair. “Unfortunately, fuel cost increases and supply chain delays caused by global events, combined with increasing volatility in regional electricity markets, drive the price for utilities to produce and purchase electricity. Although the utilities cannot avoid all of the impacts of these higher prices in the short term, there may be options available for residential customers to help reduce the bottom line impact.”

Officials say the approved yearly adjustments for 2023 include both increasing energy costs and the cost of wildfire prevention.

[ohio jones]

If we are tying to come up with a good estimate of future inflation then a running average of the recent past months would be more appropriate. The government uses a 6-month running average of the monthly inflation rate to calculate I-bond rates. That seems reasonable to me. Is 6 months the magic number? I have no idea. I'm sure they have put about 1000-times more thought into it than I have and that is their expertise not mine.

Since they adjust the I-bond rates every 6 months, using a 6-month running average for that purpose seems like it would not require a huge amount of thought and expertise.

More to the point, if what are you tying to establish is an estimate of future inflation (as a counterpoint to Josh, who is observing what inflation has been rather than what it will be?), then I agree that a running average of the recent past months would be more appropriate than extrapolating a single data point. Good to know you've changed your mind on that.

[Ken]

My Oregon electric rates are going up by 14.8% this year.

. . . .

"Officials say the approved yearly adjustments for 2023 include both increasing energy costs and the cost of wildfire prevention."

Interesting. So it is a combination of increased energy costs and increased cost of wildfire prevention.

The current energy mix in Oregon is hydropower, coal, natural gas, wind, nuclear, and solar in that order. https://www.oregon.gov/energy/energy-or ... regon.aspx

It would be interesting to know how much increased costs are due to worldwide rising fossil fuel rates (coal and natural gas) compared to falling hydropower production due to the current drought. Which is also increasing wildfire costs. And possibly other environmental considerations like salmon recovery on the Columbia which is where I assume most of your hydropower comes from.

I would expect your 14.8% increase in electrical prices is due in part to rising global fuel prices and partly due to climate-driven drought effects. Even though fuel prices are currently falling, I expect earlier price increases are already baked into the 2023 electrical rates. It is a bureaucracy and they do these things slowly. It would be interesting to know how much each of those two factors contributed to your 14.8% increase: inflation-related fuel price increases, or increased climate-related costs.

Here in WA our energy mix is more tilted towards Hydro, nuclear, and wind and less reliant on coal and natural gas. And we don't have as much drought up here as you do. Perhaps that is why our rates are stable and yours are increasing.

[Josh]

My electric rates have also gone up approximately 15%. My electric comes from a nuclear power plant.

[RZehr]

So Oregon regulates all electricity rates. But Pacific Power is not a publicly owned utility as are the other major electric companies in Oregon. Warren Buffet owns Pacific Power. Probably not a coincidence that the billionaires electric company is having the largest rate increase in Oregon this year. Even with approval from regulators needed, they got the green light to raise prices.

Why Are Energy Prices So High? Some Experts Blame Deregulation.

Average retail electricity costs in the 35 states that have partly or entirely broken apart the generation, transmission and retail distribution of energy into separate businesses have risen faster than rates in the 15 states that have not deregulated, including Florida and Oregon. That difference has persisted for much of the last two decades or so, including in the last year, when energy prices increased worldwide after Russia invaded Ukraine.
https://www.nytimes.com/2023/01/04/busi ... ticleShare

[Ken]

So Oregon regulates all electricity rates. But Pacific Power is not a publicly owned utility as are the other major electric companies in Oregon. Warren Buffet owns Pacific Power. Probably not a coincidence that the billionaires electric company is having the largest rate increase in Oregon this year. Even with approval from regulators needed, they got the green light to raise prices.

Why Are Energy Prices So High? Some Experts Blame Deregulation.

Average retail electricity costs in the 35 states that have partly or entirely broken apart the generation, transmission and retail distribution of energy into separate businesses have risen faster than rates in the 15 states that have not deregulated, including Florida and Oregon. That difference has persisted for much of the last two decades or so, including in the last year, when energy prices increased worldwide after Russia invaded Ukraine.
https://www.nytimes.com/2023/01/04/busi ... ticleShare

We own our own power company here in SW Washington. Clark Public Utilities: https://www.clarkpublicutilities.com/

They are doing fine and have announced no rate increases for 2023. We will stay at the 8.16 cents per kWh rate for 2023 and they will still have plenty of money for all the necessary upgrades: https://www.columbian.com/news/2022/dec ... ld-steady/

Sometimes privatization is not the best answer, unless of course you are a rich investor.

[RZehr]

I think when it comes to utilities, public co-ops seems to be better. Same with insurance, incidentally. Oregon has a State run Workers Compensation Insurance plan that businesses can buy. And it is so much better and cheaper than the commercial policies, that almost all the businesses in Oregon use it.
Oregon has quite a few public co-ops utilities too, and they are pretty good. Pacific Power isn’t one of them. Although generally they’ve been quite competitive in the past.

[ken_sylvania]

My Oregon electric rates are going up by 14.8% this year.

Is that for Madras or state-wide? What are they currently?

Here in Clark County WA they are currently 8.16% per kWh and they have announced that there will be no rate increases for 2023.

8.16% of what? Hourly wage? daily wage?
Is there an additional cost for delivery?

[Ken]

My Oregon electric rates are going up by 14.8% this year.

Is that for Madras or state-wide? What are they currently?

Here in Clark County WA they are currently 8.16% per kWh and they have announced that there will be no rate increases for 2023.

8.16% of what? Hourly wage? daily wage?
Is there an additional cost for delivery?

Sorry, 8.16 cents per kWh.