Rocky Mountain Power proposes 30% power rate hike despite Utah's nation-leading low rates - KUTV 2News

Rocky Mountain Power proposes 30% power rate hike despite Utah's nation-leading low rates

Utah's governor has vowed to stop a hefty proposed electricity rate increase by Rocky Mountain Power, and the increase would bring Utah's rock-bottom prices much closer to what the rest of the country pays.

On June 28, Rocky Mountain Power officially filed a proposal to increase what it charges Utahns for power.

For many homeowners, their rate per Kilowatt hour would go up by about 30%.

That would cost the average Utahn $24 more a month and almost $290 more per year.

This happening as Utahns currently pay the least in electricity costs across the U.S., according to Wallethub.

A survey by the website indicated people in Utah on average spend $96 a month on electricity, the only state in the country in which the average person spends less than $100 a month.

For example, people in Hawaii average more than $200 a month.

The proposed increase would happen in two steps: first, an increase of about 15% effective February 2025, and then another 15% increase in January of 2026.

Rocky Mountain Power said the proposed rate increase is due to rising costs of fuel, big investments in infrastructure and rising insurance premiums caused by increased wildfire risk.

"We take our obligation to deliver safe, reliable and affordable energy seriously. We work hard to provide reliable service, make critical investments in much needed new energy infrastructure and keep rates affordable for customers," said Dick Garlish, Rocky Mountain Power President. "That work is reflected in quality service at rates that are below national averages. Like many businesses in these difficult economic conditions, the utility is facing inflationary pressures and increased costs outside of its control that cannot be offset through hard work and business discipline alone, making it necessary to seek a rate increase at this time.”

Governor Spencer Cox had this to say about the proposed increase:
The proposed rate increase from Rocky Mountain Power would be laughable if it wasn’t so dangerous. The proposal is completely unacceptable. The audacity and lack of awareness with this request seriously calls into question management at RMP. I will do everything I can to make sure a rate increase of that magnitude never sees the light of day.

According to rates from the Bureau of Labor Statistics, even after the proposed increase, rates for those affected would still be about 18% less than the U.S. average.

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