Portland General Electric proposes more rate increases across customer classes
Portland General Electric is proposing a nearly 5% overall rate increase for its customers, including an 8% hike specifically for large-scale data centers. This marks the eighth consecutive year of rate increases for the utility, which cites infrastructure upgrades as the reason. The Oregon Public Utility Commission will review the proposed changes, which would add an average of $8 to residential bills by July 2027.
Portland General Electric (PGE), Oregon's largest private electric utility, has proposed a nearly 5% overall rate increase across all customer classes, with residential customers seeing a nearly 4% rise, adding about $8 to monthly bills by July 1, 2027. This marks the eighth consecutive year of rate hikes for PGE customers, with residential rates collectively up 50% in five years.
The utility also announced a nearly 8% rate hike specifically for large-scale data centers. This follows earlier 2025 POWER Act regulations that established data centers as a separate rate class responsible for infrastructure and new energy generation costs, under which PGE had already raised data center rates by nearly 30% earlier this year.
PGE, through spokesperson Drew Hanson, stated the increases are necessary for infrastructure replacement and upgrades to improve reliability and reduce outages. The Oregon Public Utility Commission, a governor-appointed body, will review the proposal. Charlotte Shuff, of the Oregon Citizens' Utility Board, criticized the increases, noting that PGE's residential rates are already higher than the national average and unaffordable for many, despite improved assignment of data center costs.