Oregon PacifiCorp Customers Avoid Immediate Rate Hike as Regulators Order Full Review

PacifiCorp’s request for an interim rate increase has been denied by the Oregon Public Utility Commission (PUC), which will first conduct a full review of the utility’s rate case.

Oregon PacifiCorp Rates Increase Denied Until Review Is Completed

PacifiCorp wants to raise overall customer revenues by $170.7 million, or 8.6 percent. In its general rate case, the utility asked for a temporary 2.8 percent increase- starting June 4, 2026-  needed to address financial pressure and concerns about its credit ratings.

If approved, the interim increase would have reduced the size of possible rate changes in 2027 beyond the temporary increase and shifted the timing from April to July 2027.

But interim rates are rarely approved in Oregon. And after reviewing PacifiCorp’s filing for interim rates, the PUC noted that the utility has taken several steps to improve its financial position, but didn’t find justification to approve the interim rate request.

Approvals are generally reserved for when a utility shows it’s unable to continue providing safe and reliable service during a general rate case review process (typically 10 months). Pacificorp has taken steps, including a sale-leaseback arrangement for the Boardman-to-Hemingway transmission project, changes to the company’s capital structure, and an expanded line of credit.

The Commission noted that PacifiCorp has taken several steps to improve its financial position, including actions approved by the PUC.

Those steps include a sale-leaseback arrangement for the Boardman-to-Hemingway transmission project, changes to the company’s capital structure, and an expanded line of credit.

They are reserved for situations in which a utility demonstrates it is unable to continue providing safe and reliable service during a general rate case review, which typically takes about 10 months.

PUC Chair Letha Tawney said, “Emergency rate increases require a very high bar, and PacifiCorp did not demonstrate need at this time.”

The PUC will now investigate the general rate revision request under the standard 10-month suspension.