Oregon Republicans to Stop Utility Companies from Increasing Rates to Customers Embroiled in Wildfire Lawsuits
Three Oregon Republican State Representatives are proposing a bill to prevent utility companies from increasing rates to customers embroiled in long-standing lawsuits involving the cost of wildfire culpability.
Their proposal follows an announcement that the federal government is suing the Pacific Power parent company, PacifiCorp, for unpaid costs related to the 2020 Archie Creek fire near Roseburg.
Reps. Jami Cate of Lebanon, Virgle Osborne of Roseburg, and Ed Diehl of Stayton will be proposing a ban on residential rate increases to wildfire lawsuit customers when the legislative session begins on January 21.
Pacific Power Provides Electricity to 574,000 Residential Properties in Oregon
The Oregon Public Utilities Commission (OPUC) has approved a request by Pacific Power to increase residential electricity rates by almost 10% effective from January 1. The utility company provides electricity to 574,000 Oregonians and has implemented increased rates every year since 2023.
Oregonians pay Pacific Power 50% more today than in 2021, an increase that is more than double the inflation rate.
The most recent rate hike was approved by OPUC to help Pacific Power to cover the $25 million cost of restoration work after the 2020 Labor Day fires. Other reasons given by Pacific Power for the residential rates hike are clean energy generation, inflation, building infrastructure, higher insurance costs, and storage.
Parent Company Has Spent $2.7 Billion on Wildfire Lawsuits Since 2020
Pacific Power’s parent company, PacifiCorp, is reported to have spent about $2.7 billion on wildfire lawsuits since 2020, according to a recent report to the federal commission. This includes $550 million to 10 timber companies and 463 plaintiffs for damages after the Archie Creek Fire.
Thousands of other state victims have also filed suit against the company and are awaiting trial, while many other cases have been in limbo for years.
PacifiCorp had previously found liable for several 2020 Labor Day fires that scorched 850,000 acres of forestland, gutted more than 4,000 homes, and killed 11 people.
The Archie Creek Labor Day fire burned 130,000 acres southeast of Roseburg and the US Attorney General’s Office is seeking $625 million for the Archie Creek Fire and the nearby Susan Creek Fire, according to a Berkshire Hathaway annual report.
Before the 2020 Labor Day fires, PacifiCorp sent about the same amount of money each year to Berkshire shareholders in earnings, Securities and Exchange Commission filings show.
PacifiCorp is a subsidiary of the multinational conglomerate, Warren Buffet’s Berkshire Hathaway.
Thank you! We’ve had three increases in a short amount of time. They need better power line and tree management. They want consumers to pay for their negligence.