Portland General Electric Proposes 29% Data Center Rate Hike, Cuts Other Rates
POR•Portland General Electric filed June 5 for commission approval to boost data center rates 29% and cut residential by 1.3%, small business 3.7%, commercial 2.2% and industrial 1.5%. The proposal enacts Oregon's POWER Act billing category for projects over 20 MW, shifting infrastructure costs to large-load customers.
1. Rate Change Proposal Details
Portland General Electric filed June 5 to raise data center rates by 29% while reducing residential rates by 1.3%, small business by 3.7%, commercial by 2.2% and industrial by 1.5%, targeting June 10 implementation pending regulatory approval.
2. POWER Act Implementation
Under Oregon's POWER Act, customers with projects exceeding 20 MW enter a distinct billing class responsible for funding generation and transmission infrastructure, and PGE secured authorization to apply exit fees, minimum charges and special clean energy contracts.
3. Data Center Consumption Growth
PGE's average data center load climbed from 50 MW in early 2020 to over 300 MW by mid-2025, equating to the consumption of roughly 240,000 households and underscoring rapid demand growth.
4. Consumer Advocacy Perspective
The Oregon Citizens' Utility Board asserts that residential customers previously subsidized data center infrastructure costs and expects the revised rate structure to curb further home bill increases driven by large-user expansions.
