Avista Seeks Rate Hikes for Electricity, Cuts for Natural Gas

Avista has filed rate adjustment requests with the Idaho Public Utilities Commission that would increase residential electric bills while slightly reducing natural gas costs. The proposed changes, which would take effect on October 1, 2026, aim to align customer rates with the utility's actual costs.

The largest factor driving the electric rate increase is the expiration of a rate credit from the 2025 Power Cost Adjustment, along with higher power costs and increased electricity use over the past year. Residential electric customers using an average of 939 kilowatt-hours per month would see their monthly bill increase from $119.52 to $127.28, a rise of about 6.5%.

On the other hand, natural gas customers would see their bills decrease by about 1.5%. The proposed reduction is due in part to lower wholesale natural gas prices during the past winter. Avista is seeking to temporarily reduce natural gas energy efficiency program collections to zero beginning November 1 as it moves toward suspending those programs at the end of 2026.

The company stated that the pause is intended to ensure the programs continue providing value to customers and that it expects to resume them once cost-effectiveness standards can again be met. The Idaho Public Utilities Commission will review the proposed rate changes before making a final decision, during which time customers may submit comments.