Oct 15 - McClatchy-Tribune Regional News - David Lester Yakima Herald-Republic, Wash.

State regulators quietly approved an average 8.5 percent rate increase for Pacific Power customers last week.

The increase, about $7 per month for the average customer, will be offset by a resumption of the residential energy credit, a benefit from the low-cost power produced at hydroelectric dams in the region.

The credit will leave a net increase of about $2.50 to $3 for the average residential and small-farm user.

Pacific Power spokesman Tom Gauntt said the rate increase will take effect today.

The increase and the credit will appear on customer bills in November.

Pacific Power had sought a 15 percent increase in a rate filing early this year. A settlement among the utility, the state Attorney General, and interest groups reduced the increase to an average of 8.5 percent for residential customers.

The increase will provide the investor-owned utility more than $20 million in additional revenue to offset the increasing cost of power.

Pacific Power serves 126,000 customers in the Yakima Valley and Walla Walla area.

The state Utilities and Transportation Commission approved the rate settlement Oct. 8.

-- David Lester

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