The Governor’s Lawsuit Will Raise Your Electric Bill

Posted: March 19, 2026 at 2:05 p.m.

EPUD General Manager Kyle Roadman

Kyle Roadman, EPUD General Manager

Hello Emerald Customer-Owners,

I’m writing today about a recent court ruling that will increase the cost of your electric bill. Unfortunately, our own Governor’s Office played a leading role in making it happen. I’ve also recorded a short video on this topic, which you can watch here:

Background

Those who’ve read my previous posts know that EPUD gets most of our power from the Bonneville Power Administration (BPA), which markets electricity from the federal hydroelectric dams on the Columbia and Snake Rivers. This hydropower system is Oregon’s largest source of electricity and the reason our region has historically enjoyed some of the most affordable, reliable, and clean energy in the country. Click here for more information about this “crown jewel” of a system.

That advantage is now under direct threat.

The Ruling

On February 25th, U.S. District Judge Michael Simon ordered significant changes to how the federal dams operate. The ruling requires increased water spill over eight dams, meaning less water flows through the turbines that generate electricity. The intent is to improve conditions for migrating salmon, even though the benefits of increased spill were never quantified by the plaintiffs. The costs of these actions, by contrast, could not be more clear: less clean, low-cost power for the region.

The State of Oregon, led by the Governor’s Office, was a lead plaintiff in this case and actively sought these operational changes. This was a deliberate policy choice, not an unavoidable event. And it was made without consulting the consumer-owned utilities whose customers will bear the cost.

 

What This Means for You

Less hydropower means EPUD must purchase replacement energy on the wholesale market, where prices are higher and the power often comes from carbon-emitting sources. The preliminary estimate is a 6 to 7 percent BPA wholesale rate increase as a direct result of this ruling. Coming on the heels of a roughly 10 percent BPA increase that took effect in October 2025, that amounts to a combined 16 percent jump in our wholesale power costs in under a year.

For EPUD, we’re looking at approximately $2 to $3 million per year in added costs for at least the next two years as a direct result of this court ruling. We will have no choice but to pass these costs through to customers. That will likely mean an additional retail rate increase of approximately 3 percent, on top of the 5 percent increase that already takes effect this April. The timing of this additional increase will depend on when BPA finalizes its special rate proceeding, but the direction is clear. Depending on your usage, the impact of this court ruling could add between $50 and $100 per year to your residential bill.

The Bigger Picture

As I’ve written about previously, the Pacific Northwest is already navigating a tight supply environment. Demand for electricity is growing, extreme weather events are testing our grid, and there are limited options to quickly bring new generation online. Constraining the output of our most flexible and dependable resource, at a time when we need it most, moves us in the wrong direction. And there is no credible plan to replace what we’re losing.

It’s also worth noting that this ruling undermines the State’s own energy strategy, which identifies both affordability and clean energy as core objectives. Replacing low-cost hydropower with more expensive, carbon-intensive market purchases accomplishes neither.

Our Commitment to Salmon

EPUD and the broader public power community have never shied away from our responsibility to support salmon recovery. Consumer-owned utilities fund the largest fish and wildlife mitigation program in the world, and the results speak for themselves. Adult salmon and steelhead returns above Bonneville Dam have tripled since the federal dams first went into service. There is still work to be done, but weakening our clean energy supply and worsening the climate impacts that threaten salmon is not the path forward.

Ignored Requests for Dialogue

Perhaps most frustrating is the fact that Oregon’s consumer-owned utilities have been shut out of these decisions entirely. A coalition of 38 utilities across the state, EPUD among them, has written to the Governor’s Office twice requesting a conversation about the impacts of this litigation. Neither letter received a response.

COU Outreach Letter

Board Action

On March 17th, EPUD’s Board of Directors passed Resolution 2026-09, formally opposing the State’s participation in this litigation. The resolution directs me to ensure you have the facts about what is driving these cost increases and calls on the State to engage directly with consumer-owned utilities before pursuing further actions that affect your electric service.

Resolution 2026-09

How You Can Help

EPUD will continue advocating on your behalf through every channel available to us. If you’d like to add your voice, we encourage you to contact your elected officials in Salem, and Governor Kotek’s office specifically, and let them know how these decisions are affecting your household budget.

This is your utility and you have a right to know what’s happening with your rates. Please don’t hesitate to reach out with questions and thanks for being a customer.

Please stay safe,

Kyle Roadman
General Manager
Emerald People’s Utility District