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Avista Moves to Help Struggling Oregonians
The Oregon Public Utility Commission
(OPUC
) April 1 unanimously approved a low-income bill payment assistance program for natural gas customers of Avista Utilities
. While Avista’s presence in the state is fairly small — 70,000 accounts in the southeast part of the state — the action signaled recognition of low-income Oregonians suffering the effects of rate hikes and economic recession. Low-income advocates were encouraged by the decision as they await the outcome of a similar filing by NW Natural next month. NW Natural
serves about six times as many customers as Avista.
Avista’s new program will generate about $200,000 annually through a surcharge of one-half of 1 percent — about 25 cents on an average gas customer’s monthly bill. The fund will help 1,000 low-income families through one-time grants of about $150 to $250 depending on income levels. The surcharge will start immediately in order to generate money for the next heating season. Local community action agencies are expected to administer the funds under guidelines similar to those used by electric utilities under Oregon’s electricity restructuring law.
Avista cited some alarming data in support of the program: a 65 percent increase in payment arrangements; a 26 percent increase in collections notices; and a 21 percent increase in non-payments; resulting in a 93 percent increase in lost revenues compared to the year before.
Commission Chair Roy Hemmingway
supported the filing but labeled the program a “hidden tax” that would not be needed if the Oregon Legislature
had fully funded low-income programs from general tax revenues. The NW Energy Coalition’s Steven Weiss
noted that assistance programs run by other utilities actually saved ratepayers money by reducing utility disconnection and other utility costs. Commission Staff noted the Legislature acted responsibly by changing the law to allow gas utilities to run such programs.
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Steven Weiss