Higher fuel costs and severe weather prompt price increase request for Rocky Mountain Power customers

The following is a press release from Rocky Mountain Power:

BOISE, Idaho (KIFI) - Rocky Mountain Power’s costs for fuel and wholesale electricity increased in 2024 but at a lower rate than the previous year, still necessitating a modest increase in customer bills. As part of an annual review of these costs, the company requested an average 1.9% increase for Idaho customers.

A typical residential customer using 836 kilowatt-hours per month would see a 1.7% increase, or $1.94 per month on their electricity bill. The company proposes the increase to take effect June 1, 2025, subject to review by the Idaho Public Utilities Commission.

“We recognize that in difficult economic conditions, a price increase is not good news,” said David Eskelsen, spokesman for Rocky Mountain Power. “Despite these difficulties, we remain committed to bringing the best value to our customers for their hard-earned dollars. We’ve worked diligently to control the costs we can control. We are strict with our budgets and continue our work to steadily improve our system to enhance reliability for our 91,453 customers in southeastern Idaho. We know how important reliable service is for businesses and homes alike.

“The company is working hard to maintain our position as a low-cost energy provider,” Eskelsen added. “The annual adjustment process makes sure Rocky Mountain Power customers always pay a fair price for the energy they need.”

Coal supply constraints that extended into mid-2024, increased prices of wholesale power purchased from other companies, higher natural gas costs, and lower availability of hydroelectric resources all contributed to higher costs of these market commodities purchased to serve customers in 2024.

The annual energy cost adjustment mechanism is designed to track the difference between the company’s actual expenses for fuel and electricity purchased from the wholesale market, against the amount being collected from customers through current rates. Pending commission approval, the changes would take effect June 1, 2024, with the following impact on each rate schedule:

Residential Schedule 1 – 1.7% increase

Residential Schedule 36 – 1.9% increase

General Service Schedule 6 –2.2% increase

General Service Schedule 9 – 2.8% increase

Irrigation Service Schedule 10 – 2.0% increase

General Service Schedule 23 – 1.7% increase

General Service Schedule 35 – 2.1% increase

Public Street Lighting – 1.2% increase

Tariff Contract 400 – 2.9% increase

The public will have an opportunity to comment on the proposal as the commission studies the company’s request. The commission must approve the proposed changes before they can take effect. A copy of the company’s application is available for public review on the commission’s website, www.puc.idaho.gov, under Case No. PAC-E-25-04. Customers may also subscribe to the commission’s RSS feed to receive periodic updates via email. The request is required to be available at the company’s offices in Rexburg, Preston, Shelley, and Montpelier, although the company urges customers to visit our website at rockymountainpower.net/rates.