US Government Agreement Could Affect Electric Rates
PrintA secret agreement between the US government and six organizations may lead to substantial ramifications for all public power customers in the Pacific Northwest.
The US Government recently made commitments in partnership with “the Six Sovereigns.” The Six Sovereigns include the:
- State of Oregon
- State of Washington
- Nez Perce Tribe
- Confederated Tribes and Bands of the Yakama Nation
- Confederated Tribes of the Umatilla Indian Reservation
- Confederated Tribes of the Warm Springs Reservation
These commitments were made as part of a process that was supposed to be done in collaboration to come up with “a durable long-term strategy to restore salmon and other native fish populations to healthy and abundant levels, honoring Federal commitments to Tribal Nations, delivering affordable and reliable clean power, and meeting the many resilience needs of stakeholders across the region.”
Public power was left out of these discussions, however. As a result, millions of electric ratepayers’ voices were not represented, which is very concerning to those of us in the utility industry.
The commitments made by the US Government could cost ratepayers billions of dollars by removing dams from the Federal Columbia River Power System (FCRPS) and forcing Bonneville Power Administration (BPA) to pay hefty sums for a restoration plan.
While there is no concrete commitment to removing the Lower Snake River dams, a clear path to breaching the dams has been put in place. This would remove a significant provider of carbon-free electricity at a time when carbon-emitting power sources are being taken off the grid and electrification is increasing the need for capacity on the grid.
The FCRPS is our greatest source of carbon-free electricity. Removing four of its dams will decrease the system’s reliability and force BPA to find alternative baseload power that will likely be priced higher than the energy produced by the FCRPS.
All of the electricity that we deliver to our customers comes from BPA. Roughly 85% of that power is generated by FCRPS dams, resulting in low-cost, reliable, clean electricity flowing to you.
Warming oceans resulting from climate change have wrought havoc on steelhead and salmon populations in river – both dammed and undammed – all over the West Coast. BPA invests $650 million annually to mitigate and enhance salmon populations. In addition to these efforts, our hydropower system fights against climate change by generating an abundance of carbon-free electricity.
Unlike solar and wind power, hydropower can be counted on any time day or night. It doesn’t matter if the wind is blowing or the sun is shining. This provides crucial baseload power that our region relies on. If dams are removed, we will no longer be able to rely on this critical resource.
Dam breaching requires congressional authorization. At Columbia River PUD, we are reaching out to our elected officials to ask them to support our existing electrical infrastructure. Without it, we run the risk of escalating costs for electricity while removing a reliable, low-cost, carbon-free product from our portfolio.
This is a serious issue, and we want to assure our customers we are working on your behalf to help keep electric costs down in Columbia County and throughout the region.
Michael J. Skyes
General Manager, Columbia River PUD
