Understanding Our Pricing

How prices are determined

Like all investor-owned utilities in Oregon, PGE undergoes a price-setting process with the Oregon Public Utility Commission, called a rate case, when it needs to ask the Commission to set or change the overall prices customers pay for electric service. PGE bases its proposed prices on forecasts of what it believes its future costs to provide service will be, plus a reasonable rate of return. PGE customers have a voice in the rate case process. With support from PGE, the OPUC Oregon Public Utility Commission holds open houses for the community on every rate case considered. Customers are encouraged to attend these open houses and provide feedback. The OPUC then sets prices for residential and business customers at levels it determines to be just and reasonable. Annually, in between rate cases, the OPUC also adjusts prices to reflect the projected net cost of the power needed to serve customers for the year ahead and make any other necessary changes. This includes the cost for PGE to generate its own energy — which is affected by prices for raw fuel like coal and natural gas — and how weather will affect the output of hydroelectric and wind generators. Price adjustments also include the predicted cost to buy supplemental energy from other suppliers on the wholesale power market. Using these processes, the OPUC approved a price increase for PGE customers, effective January 1, 2021. This price change reflects projected increases in the costs of wholesale power and fuel; the end of a credit related to federal tax reform in 2018; and the costs and benefits from adding the new Wheatridge Renewable Energy Facility to our generation fleet.


How you fit in to common pricing schedules

The following pricing schedules are the most typical for residential and business customers. Your monthly statement shows your schedule or schedules (some businesses may have more than one).

Residential customers Schedule 7, Basic Service

This is the plan most residential customers are on. Pricing is based directly on the costs PGE incurs in providing electric service. You will continue on Basic Service automatically unless you select another option. Your electricity price equals your actual usage billed at the Basic Service rate. Your total bill includes other items such as the basic charge, distribution and supplemental adjustments.

Business customers Schedule 32, small non-residential basic service

This schedule applies to business customers who have not exceeded 30 kW more than once in the previous 13 months (or once with seven months or less of service). The price you pay for electricity is determined by the amount you use.

Schedule 83, commercial customers

Customers in this schedule have not exceeded 200 kW more than six times in the preceding 13 months and have not exceeded 4,000 kW more than once within the prior 13 months (or once with seven months or less of service).

The price you pay for electricity is determined by the amount you use and the rate at which you use it.

Schedule 85, large commercial customers

Customers in this schedule have exceeded 200 kW more than six times in the preceding 13 months but have not exceeded 4,000 kW more than once within the prior 13 months (or once with seven months or less of service).

The price you pay for electricity is determined by the amount you use and the rate at which you use it.

Schedule 89, industrial customers

Customers in this schedule have a demand that exceeded 4,000 kW at least twice within the prior 13 months (or once with seven months or less of service).

The price you pay for electricity is determined by the amount of electricity you use and the rate at which you use it.