PORTLAND, Ore.—Portland General Electric is pushing for a massive 10.9% rate increase to start in 2025, a significant jump from the 7.4% increase it initially requested. This follows an already substantial 18% rate hike that began in January.
With electricity bills soaring by nearly 70% since 2014, the relentless escalation reflects inflation but also underscores the exploitative nature of capitalist utility companies.
If approved, the new increase would drive a $100 electricity bill in 2023 up to $140 by 2025. This is a glaring example of greed, where essential services become increasingly unaffordable for the working class. Yet the CEO of PGE, Maria Pope, raked in a $6.2 million salary in 2022 and $6.8 million in 2023. This lavish pay raise for the top starkly contrasts with the financial strain imposed on the working-class ratepayers.
PGE justifies the hike by pointing to rising power costs, investments in battery storage, and necessary infrastructure upgrades. Drew Hanson, PGE’s communications manager, claims these measures are intended to improve system reliability and manage growing demand. Many upset customers feel these are just smokescreens, though, for the real problem: the drive to boost corporate profits at the expense of the people.
Watchdogs and the public are incensed. The Oregon Citizens’ Utility Board has sharply criticized this proposed increase and accused PGE of mismanaging finances in favor of corporate gain. Meanwhile, over 2,000 public comments submitted to the Oregon Public Utilities Commission reflect widespread dissent against the proposed hikes.
PGE’s record-high customer disconnections—4,712 in April and 4,303 in May—highlight the severe impact of these rate increases on working families. These figures represent the highest disconnection rates since PGE began reporting them in 2018, illustrating the harsh reality faced by those struggling to pay inflated utility bills.
In contrast, NW Natural, Oregon’s largest natural gas utility, recently agreed to a partial settlement that could reduce its proposed 17% rate increase to 7%, starting Nov. 1. Similarly, Pacific Power lowered its proposed 2025 increase from 17.9% to 11.9%. These adjustments demonstrate that alternative outcomes are achievable through public and regulatory pressure.
The PUC is set to make a decision on PGE’s rate hike by December, with the increase potentially coming into effect on Jan. 1, 2025.
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