Ruling Could Increase Rates for EWEB Customers

EUGENE: The Eugene Water & Electric Board is warning that a recent federal court order affecting the Columbia and Snake River dams could lead to higher electricity costs and increased reliability risks for customers across the region.

The preliminary injunction, which took effect on March 1, requires significantly more water to be spilled over dams in the federal hydropower system to aid fish passage. Aimed at supporting salmon recovery, the order also reduces the amount of electricity generated by the Bonneville Power Administration (BPA) – which provides 80% of EWEB’s electrical energy.

Early estimates from the BPA suggest the ruling could add about $100 million annually to their costs. The increases are expected to flow through to utilities to customers. For EWEB users, officials estimate BPA-related power costs could rise by about 5%, though the exact timing and amount remain under review.

EWEB General Manager Frank Lawson joined leaders from more than 30 Oregon consumer-owned utilities in urging Governor Tina Kotek to meet directly with utilities affected by the decision. In a letter sent to the governor, the group expressed concern that the state’s support of litigation leading to the order conflicts with efforts to maintain affordable, reliable clean energy.

“Decisions of this magnitude … should not be made without meaningful input from the families and communities who will bear the consequences,” the letter states. A similar appeal last October went unanswered.

The court order governs operations at eight dams across the Columbia and Snake rivers, including requirements for spill levels, fish passage, and reservoir management. EWEB officials say the assumption that increased spill consistently benefits fish is not universally supported by scientific research.

“Community-owned utilities … believe salmon recovery and affordable, reliable hydropower can and must coexist,” Lawson said. “Court-driven mandates issued without a responsible plan to replace lost generation serve neither goal.”

The ruling comes as the Pacific Northwest faces growing pressure on its electric grid. Demand for electricity continues to rise due to industrial growth, electric vehicles, and building electrification, while available supply is tightening.

Hydropower has long served as a stable, carbon-free backbone for the region’s energy system, particularly during periods of high demand. EWEB officials warn that limiting that flexibility could worsen an already delicate balance.

“Our region has already come dangerously close to rolling blackouts during extreme weather events, “according to Lawson. “This ruling makes those events more likely, not less.”

In response, the Eugene utility is evaluating additional backup power strategies for periods of peak demand. One would be a partnership with the University of Oregon to study whether the university’s on-site combined heat and power generator could help stabilize the grid during short periods.

The study will also examine whether using the highly efficient generator for limited hours could reduce overall regional greenhouse gas emissions by offsetting dirtier energy sources during peak demand.

“Our customers have consistently told us that reliable power and affordable rates are their top two priorities,” Lawson said.

BPA officials are still determining how to recover the added costs associated with the court order. EWEB says it is actively involved in those discussions and plan to keep customers informed as details become clearer.