Chelan PUD Customers to See Increase in Electricity, Water Bills

After months of what sounds like methodical debate, Chelan PUD commissioners moved on Monday to ratify a proposed rate plan extension.

"We've had many discussions regarding our rate plan and where to go next," said customer program analyst Cathy Melton. Deliberations officially began on August 19, "but discussion started prior to that - through workshops and updates starting in June and July." This was followed by "three public meetings around the county."

"We're seeking approval of our recommendation, which would be for continuation of the existing rate plan: a 3% annual increase for electricity and a 4% increase for water and wastewater. The first iteration of those adjustments would be effective June 2025."

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What are the micro-level implications? According to PUD spokesperson Rachel Hansen, the average customer will see a $2 increase in their monthly electricity bill. Water and wastewater costs will spike by $3 or $4 per month.

The increases are a pace-keeping measure - highly imperative, Hansen says, because the provision of services is ever more pricey. Since 2018, the cost of energy generation and delivery has ballooned by 153%, which is definitely yikes-worthy. Meanwhile customers have gone from paying $55 to $66, an increase of 120%.

"Chelan PUD keep rates low," Hansen says, "with revenue selling surplus energy produced at its dams." But there's a widening gulf between cost of production and cost to the customer. Hansen says this poses the threat of hyperreliance on power sales.

It's not as though the PUD rules by dictatorial fiat. As part of its 2020-2024 strategic plan, the utility invited customers to take a survey. The survey results made clear an overwhelming preference for minute, gradual adjustments as opposed to large increases.

Commissioners will meet Dec. 2 to consider approving next year's annual budget.

Click here to access a recording of Monday's meeting.