Arctic blast to drive up power costs

By KATHY DAY

Herald Writer

EVERETT — Temperatures are going down and utility bills are likely to go up — soon.

That’s because a power crisis in the West prompted these developments Friday:

  • The Bonneville Power Administration, which produces much of the region’s electricity from hydroelectric dams, declared an emergency in the face of forecasts that a mass of Arctic air will arrive by tonight. BPA’s action allows the agency to bypass rules intended to protect salmon and run more water through its generators.

  • The governors of Washington and Oregon asked residents to voluntarily conserve power and ordered state agencies to cut back.

  • Snohomish County PUD managers said they’ll ask the commission on Tuesday to impose a rate hike as soon as possible.

    "We will have to do something," PUD General Manager Paul Elias said. "Our cushion is not there any more."

    Preliminary indications, he said, are that rate increases to cover energy expenses could "reach as high as double digits next year."

    An odd confluence of events, ranging from the cold to inoperative power plants, has pushed the cost of spot energy purchases skyward.

    Utilities that paid $30 a kilowatt hour for extra electricity a year ago had to pay $750 on Monday and $5,000 on Friday.

    The events had officials scrambling to react, hoping to avoid alerts such as those faced in California, where the possibility of rolling blackouts was averted Thursday only after more water was pushed through Western dams.

    Dick Watson of the Northwest Power Planning Council warned people Friday of the need to conserve now so energy will be available when the cold hits. The warning — which is not classified as an emergency — includes calls to operators to crank up generation systems to the maximum.

    "Clearly, the intent is to try and take early voluntary actions to avoid more draconian mandatory actions later," Watson said.

    The alert, combined with BPA’s declaration of an emergency, clears the way for the agency to bypass rules about how much water it must maintain in reservoirs for salmon protection. As a result, on Monday, BPA will run 180,000 to 200,000 cubic feet per second — compared to a normal 150,000 cfs — through its system.

    National Weather Service forecaster Jay Albrecht said it should get a lot colder tonight.

    "A little chunk of the Arctic system will push south," he said, bringing 1 to 2 inches of snow and temperatures in the 30s with 15- to 25-mph winds.

    It will only get worse, as far as power officials are concerned. When people go back to work and turn on their lights and computers on Monday, highs are expected to be in the 25- to 30-degree range and on Tuesday probably will drop to the 10- to 20-degree range.

    The weather’s only one part of the energy puzzle, but it is adding to rate pressures, said Elias, the PUD general manager. He compared the rising cost of power to the cost of buying gasoline.

    "If you were paying $1.50 a gallon and the price jumped to $250, would you even think about filling your tank?," he asked.

    He was meeting with district staff even before Gov. Gary Locke, in a joint release with Oregon Gov. John Kizhaber, called for conservation and directed state offices to trim energy use.

    Elias said the district wants customers "to reduce nonessential uses. We think we have enough supply, but it’s tight."

    The PUD gets much of its power from the BPA, but also buys some on the open market.

    BPA must also turn to market purchases when it can’t generate enough energy. Its reservoirs are already low because of a water shortage.

    It’s the open market purchases that are creating the financial burden, Elias explained. As prices rose in November, the district outspent its power budget by $11 million. By the end of December, the deficit could be another $37 million above what had been planned, he added.

    The PUD has a rate stabilization fund, but the high price of power "is eating that up now," Elias added.

    The costs are also pushing the district’s credit limits, creating a situation akin to maxing out a credit card.

    "We’re there now," Elias said.

    PUD financial staff spent much of the day looking at the numbers and coming up with a variety of rate-hike scenarios. Any rate hikes would require public hearings before they could be enacted.

    Commissioner Kathy Vaughn, who had just attended a two-day utilities association meeting where prices were a hot topic, said Friday, "We have to do what’s best to keep the district solvent."

    Talk to us

    > Give us your news tips.

    > Send us a letter to the editor.

    > More Herald contact information.

  • More in Local News

    Customers enter and exit the Costco on Dec. 2, 2022, in Lake Stevens. (Olivia Vanni / The Herald)
    Costco stores could be impacted by looming truck driver strike threat

    Truck drivers who deliver groceries and produce to Costco warehouses… Continue reading

    Two Washington State ferries pass along the route between Mukilteo and Clinton as scuba divers swim near the shore Sunday, Oct. 22, 2023, in Mukilteo, Washington. (Ryan Berry / The Herald)
    Ferry system increases ridership by a half million in 2024

    Edmonds-Kingston route remains second-busiest route in the system.

    Firefighters respond to a 911 call on July 16, 2024, in Mill Creek. Firefighters from South County Fire, Tulalip Bay Fire Department and Camano Island Fire and Rescue left Wednesday to help fight the LA fires. (Photo provided by South County Fire)
    Help is on the way: Snohomish County firefighters en route to LA fires

    The Los Angeles wildfires have caused at least 180,000 evacuations. The crews expect to arrive Friday.

    x
    Edmonds police shooting investigation includes possibility of gang violence

    The 18-year-old victim remains in critical condition as of Friday morning.

    The Everett Wastewater Treatment Plant along the Snohomish River. Thursday, June 16, 2022 in Everett. (Olivia Vanni / The Herald)
    Everett council approves water, sewer rate increases

    The 43% rise in combined water and sewer rates will pay for large infrastructure projects.

    Robin Cain with 50 of her marathon medals hanging on a display board she made with her father on Thursday, Jan. 2, 2025 in Lake Stevens, Washington. (Olivia Vanni / The Herald)
    Running a marathon is hard. She ran one in every state.

    Robin Cain, of Lake Stevens, is one of only a few thousand people to ever achieve the feat.

    People line up to grab food at the Everett Recovery Cafe on Wednesday, Dec. 4, 2024 in Everett, Washington. (Olivia Vanni / The Herald)
    Coffee, meals and compassion are free at the Everett Recovery Cafe

    The free, membership-based day center offers free coffee and meals and more importantly, camaraderie and recovery support.

    Devani Padron, left, Daisy Ramos perform during dance class at Mari's Place Monday afternoon in Everett on July 13, 2016. (Kevin Clark / The Herald)
    Mari’s Place helps children build confidence and design a better future

    The Everett-based nonprofit offers free and low-cost classes in art, music, theater and dance for children ages 5 to 14.

    The Everett Wastewater Treatment Plant along the Snohomish River on Thursday, June 16, 2022 in Everett, Washington. (Olivia Vanni / The Herald)
    Everett water, sewer rates could jump 43% by 2028

    The rate hikes would pay for improvements to the city’s sewer infrastructure.

    The bond funded new track and field at Northshore Middle School on Thursday, Oct. 24, 2024 in Bothell, Washington. (Courtesy of Northshore School District)
    Northshore School District bond improvements underway

    The $425 million bond is funding new track and field complexes, playgrounds and phase one of two school replacements.

    Pharmacist Nisha Mathew prepares a Pfizer COVID booster shot for a patient at Bartell Drugs on Broadway on Saturday, Oct. 1, 2022, in Everett, Washington. (Ryan Berry / The Herald)
    Everett lawmakers back universal health care bill, introduced in Olympia

    Proponents say providing health care for all is a “fundamental human right.” Opponents worry about the cost of implementing it.

    Outside of the updated section of Lake Stevens High School on Thursday, Feb. 27, 2020 in Lake Stevens, Wa. (Olivia Vanni / The Herald)
    Lake Stevens, Arlington school measures on Feb. 11 ballot

    A bond in Lake Stevens and a levy in Arlington would be used to build new schools.

    Support local journalism

    If you value local news, make a gift now to support the trusted journalism you get in The Daily Herald. Donations processed in this system are not tax deductible.