Tell PUD how you feel about increases
Published 9:00 pm Monday, August 27, 2001
WPPSS! Here we go again.
Today, between 1 to 6 p.m. the Snohomish County PUD Board of Commissioners will hold a public hearing to consider another rate increase of between 16 to 18 percent. Earlier this year customers received whooping rate increases to cover the cost of skyrocketing wholesale rates for power purchased on the open market. At that time, the PUD purchased roughly 50 percent of their power portfolio on the open market; we now receive 80 percent of our power from the Bonneville Power Administration. BPA sells the least expensive priced power in the nation, and even with a projected 50 percent wholesale rate increase, BPA’s rates should still be well below prices that our PUD had been paying to those open market suppliers. So why do we need another price increase?
On Jan. 23, at the regular PUD Commission meeting, our PUD management released their strategic plan as a policy guideline for our utility. Included in the plan are options for building a 500 MW combined cycle combustion turbine at a price of $225 million. The bulk of the power generated from this power plant will be sold on the open market. PUD management claims that if they make profits, they may be able to lower your electric rates. If this sounds familiar, it should. WPPSS, the consortium of NW Public Utilities presented a similar case for their ill-fated venture that caused the largest bond default in U.S. history.
Building a power plant on one of our local rivers is a significant policy decision requiring ratepayer approval. The PUD should hold public meetings to demonstrate not only the need for the current rate increase proposed, but also explain the benefits to ratepayers financing the construction of this power plant. Only more information will allow ratepayers to determine if this rate increase is part of a scheme to finance a new $225 million dollar power plant or a justifiable rate increase.
Please attend the commission meeting today, or send e-mail, write or call your commissioners to voice your opinion before it’s too late.
Mukilteo
