powertid

As predicted: Washington state’s push to all-electric is leading to higher energy bills in Seattle

Vaseline July 21, 2024

By SPENCER PAULEY | THE CENTRAL SQUARE

The City of Seattle expects rates for City Light customers to increase 5.4% next year due to increased demand, extreme weather events and the impact of low water levels on hydroelectric generating capacity, as the state continues to push for a full transition to clean energy.

A 5.4% increase is about $4.88 more per month for a typical individual bill, or $1.95 more per month for a typical Utility Discount Program bill.

According to Dawn Lindell, CEO of Seattle City Light, the demand for retail building electrification is growing three times faster than expected in 2022. Additionally, demand for public transportation electrification is up 70% from 2022 estimates.

“Within a few years, demand will outpace energy savings from efficiency,” Lindell said at a news conference. Seattle City Light Strategic Plan Update.

During a presentation At the Seattle Sustainability, City Light, Arts & Culture Committee on Friday, Seattle City Light officials revealed that the estimated total resource needed in 2022 was 696 megawatts over 20 years. This year, the total resource needed over the next 20 years is 2,563 MW. That’s a 268% increase in estimated resources.

City Light’s admission that electricity capacity is not meeting demand is an example of the obstacles Washington faces as states and cities transition to clean energy.

In March, Governor Jay Inslee signed Bill 1589a “planning bill” that consolidates Puget Sound Energy’s strategy for both electricity and natural gas going forward.

The state’s Department of Commerce also published its Energy strategy in 2021, which was intended to provide a roadmap for meeting the state’s need for affordable and reliable energy supplies and chart a path towards a clean, inclusive energy economy by 2050.

Glenn Blackmon, director of the Washington Department of Commerce’s Energy Policy Office, said the state’s energy strategy addresses the need for significant investments by electric utilities as the state transitions from fossil fuels to clean energy sources.

“The strategy also identifies the need to ensure that overburdened communities and low-income customers are not harmed by this transition,” Blackmon told The Center Square in an email. “Investments in energy transition will have long-term benefits, both economically and environmentally. For example, investments in the electricity distribution system and battery charging stations allow consumers to save money by switching from gasoline to electric vehicles.”

Blackmon noted that government agencies do not regulate the rates of Seattle City Light or other electric utilities operated by local governments.

The state legislature established the Clean Energy Fund in 2013 for projects that revolve around the development and deployment of clean energy technologies, energy conservation, lower energy costs, and reducing harmful air emissions. The legislature provided $231 million in biennial appropriations to the CEF.

Advocates are working to Initiative 2066 on the November ballot, which would prohibit cities and counties from prohibiting, penalizing, or discouraging “the use of gas for any form of heating, or for any use in connection with any appliance or equipment, in any building.”

Seattle’s Sustainability, City Lighting, Arts and Culture Committee is expected to vote on whether to approve the update to the City Lighting Strategic Plan on August 2. It will then go to the full City Council for a final vote, with the expectation that rates for City Lighting customers will increase.