This June 3, 2011, file photo shows the Bonneville Dam on the Columbia River near Cascade Locks, Oregon. (AP Photo/Rick Bowmer, File)

This June 3, 2011, file photo shows the Bonneville Dam on the Columbia River near Cascade Locks, Oregon. (AP Photo/Rick Bowmer, File)

Trump wants Bonneville Power Administration sell-off

Snohomish PUD and others are opposing privatization of federal hydropower systems.

EVERETT — The White House wants to sell off the Bonneville Power Administration and other hydropower systems throughout the country, moves critics warn would push up electricity rates for consumers in the Pacific Northwest and beyond.

The plan from President Donald Trump also would change the way Bonneville Power sets its rates.

The Snohomish County Public Utility District buys about 80 percent of its electricity from Bonneville Power, which was created by the federal government in the 1930s. It’s one of four power marketing administrations that deliver and sell hydro-electric power from federal dams to much of the country.

“Selling off BPA’s transmission system and abandoning cost-based rates would raise electricity rates and throw sand in the gears of the Northwest economy,” said Sen. Maria Cantwell, D-Wash., in a statement. “Northwest consumers already cover the full costs, with interest, of building and operating our region’s hydropower system. I will be working with all my Pacific Northwest colleagues to once again stop this bad idea in its tracks.”

The issue is in the senator’s wheelhouse; Cantwell is the ranking Democrat on the Senate Energy and Natural Resources Committee.

Unloading the Pacific Northwest’s major power purveyor is one of thousands of ideas in the annual budget the Trump administration released Monday. It’s part of a broader push by the president and his allies to privatize federal infrastructure in the name of free-market efficiency. The Tennessee Valley Authority, Southwestern Power Administration and Western Area Power Administration also are targeted for divestment.

Getting the federal government out of the power-transmission business, “would encourage a more efficient allocation of economic resources and mitigate risk to taxpayers,” the budget document contends. The administration also favors letting BPA and its counterparts charge market-based rates like for-profit utilities, “rather than being limited to cost-based rates.”

By privatizing BPA, the federal government could save nearly $5.2 billion by the end of 2028, the president’s budget estimates. Further savings are projected from rate changes.

An industry group for Pacific Northwest utilities, including the Snohomish County PUD, issued a statement opposing the privatization plan.

“The bottom line is this budget proposes to raise an extra $5 billion to $7 billion on the backs of Northwest electricity customers over the next 10 years without any added benefit,” Public Power Council executive director Scott Corwin said in a statement. “We are looking to the future, and are already working with BPA to modernize its transmission system and to take concerted action to address its cost of power.”

Charging market electricity rates could conflict with BPA’s statutes and interfere with long-term contracts already in place with local utilities, the group cautioned. Other concerns about divestment include neglect of rural areas and a less reliable power grid.

The president’s spending plan is only the first step in a long process. It’s now up to the House and Senate to pass their own versions of the federal budget. The 2019 fiscal year begins Oct. 1.

Noah Haglund: 425-339-3465; nhaglund@heraldnet.com. Twitter: @NWhaglund.

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.

The Everett Municipal Building on Thursday, Feb. 29, 2024 in Everett, Washington. (Annie Barker / The Herald)
Everett council approves $111 million construction of sewer project

The Port Gardner Storage Facility, in the works for more than a decade, will help prevent overflows of the city sewer system.

Two students walk along a path through campus Thursday, Aug. 4, 2022, at Everett Community College in Everett, Washington. A group of nearly 20 community groups are planning to study how to make it easier for young people to find jobs. (Ryan Berry / The Herald)
Goal for Everett coalition: Make it easier for young people to find jobs

The organizations hope the months-long process will improve access to resources for young people.

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.