Avista Makes Price Adjustment Requests in Washington and Idaho
Washington Electric Adjustment Filings
Two electric adjustments were filed, that if approved, are designed to change overall electric revenues as follows:
- Wildfire Expense Balancing: increase of approximately
$5.1 million or 0.9% - Residential Exchange Program: decrease of approximately
$0.2 million or 0.1%
Washington Natural Gas Adjustment Filing
The natural gas adjustment request is the annual natural gas Purchased Gas Cost Adjustment. If approved, Avista’s request is designed to increase overall natural gas revenues by approximately
Idaho Natural Gas Adjustment Filings
Two natural gas adjustments were filed, that if approved, are designed to change overall natural gas revenues as follows:
- Purchased Gas Cost Adjustment: increase of approximately
$11.2 million or 12.7% - Natural Gas Energy Efficiency: increase of approximately
$2.6 million or 3.0%
Purchased Gas Cost Adjustment (PGA) -
PGA requests are typically filed annually to balance the actual cost of wholesale natural gas purchased by Avista to serve customers with the amount presently included in customer’s rates. Avista does not make a profit on, or markup, the wholesale cost of natural gas; PGAs ensure customers pay what Avista pays, dollar for dollar, only at a more predictable and stable rate throughout the year. About 55% of an Avista natural gas customer's bill is the combined cost of purchasing natural gas on the wholesale market and transporting it to Avista's system.
This rate adjustment is driven primarily by higher wholesale natural gas prices. Since the last annual PGA filings were made in 2021, the price of wholesale natural gas increased with dramatic sustained increases beginning in late
Wildfire Balancing –
The Wildfire Expense Balancing account tracks the difference in wildfire expenses incurred by Avista to address the growing frequency of extreme and dangerous wildfires in Avista’s service territory to the base level of expense approved by the Commission. The difference is rebated to or collected from customers annually. The rate increase proposed today reflects the higher level of expense incurred above the approved amount.
Residential Exchange Program –
The Residential Exchange Program provides a share of the benefits of the federal
Energy Efficiency Adjustment –
The energy efficiency adjustment is related to the funding of Avista’s natural gas energy efficiency programs. This adjustment aligns the amount that is collected in customer rates with the actual costs to run and deliver the programs. Avista’s energy efficiency programs are designed to provide a financial incentive or rebate for cost-effective energy efficiency measures. The Commission approves the amount of funding for these important programs through a portion of energy rates. The rate increase proposed reflects the higher level of funding needed to operate the programs in the coming years.
Electric Customer Bills
| If approved, residential electric customers would see the following rate adjustments: | |
| Residential Service - Schedule 1 & 2 | 0.9% |
| General Service - Schedules 11 & 12 | 0.9% |
| Large General Service - Schedules 21 & 22 | 0.9% |
| Extra Large General Service - Schedule 25 & 25I | 0.9% |
| Pumping Service - Schedules 31 & 32 | 0.9% |
| Street & Area Lights - Schedules 41-48 | 0.9% |
| Overall | 0.9% |
Natural Gas Customer Bills
The percentage change varies by rate schedule and is dependent upon how much energy customers on the respective rate schedules use. If approved, natural gas customers would see the following rate adjustments:
| General Service - Schedule 101 & 102 | 12.1% |
| Large General Service - Schedule 111 & 112 | 14.4% |
| Interruptible Sales Service - Schedule 131 & 132 | 3.5% |
| Transportation Service - Schedule 146 | 0.0% |
| Overall | 12.3% |
The percentage change varies by rate schedule and is dependent upon how much energy customers on the respective rate schedules use. If approved, natural gas customers would see the following rate adjustments:
| General Service - Schedule 101 | 15.0% |
| Large General Service - Schedule 111 & 112 | 18.3% |
| Interruptible Sales Service - Schedule 131 & 132 | 0.0% |
| Transportation Service - Schedule 146 | 0.0% |
| Overall | 15.7% |
To help customers proactively manage their energy use, Avista offers services to those who may need and qualifies for assistance in managing their energy bills such as comfort level billing, payment arrangements and special circumstantial referrals to area agencies and churches for help with housing, utilities, medical assistance and other needs. Avista also provides funding for energy assistance programs which are administered through community action agencies.
Energy efficiency and outreach programs are also offered which include rebates and incentives as well as tips and resources to help customers manage their energy use and energy bills. Customers can learn more at www.myavista.com.
About
This news release contains forward-looking statements regarding the company’s current expectations. Forward-looking statements are all statements other than historical facts. Such statements speak only as of the date of the news release and are subject to a variety of risks and uncertainties, many of which are beyond the company’s control, which could cause actual results to differ materially from the expectations. These risks and uncertainties include, in addition to those discussed herein, all of the factors discussed in the company’s and the Quarterly Report on Form 10-Q for the quarter ended
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