PGE Customers to Receive $34.5 Million from BPA to Reduce Electricity Bills.PORTLAND, Ore.--(BUSINESS WIRE)--Sept. 3, 1998--Portland General Electric (PGE PGE Pacific Gas and Electric Company PGE Portland General Electric PGE Prostaglandin E PGE Platinum Group Elements PGE Pacific Great Eastern (Railroad) PGE Phenyl Glycidyl Ether PGE Perfect Girl Evolution ) announced today that it has reached a $34.5 million settlement with Bonneville Power Administration The Bonneville Power Administration (BPA) is a U.S. self-financed federal agency which transmits and sells wholesale electricity in Washington, Oregon, Idaho, and western Montana. The BPA is part of the U.S. Department of Energy, and is headquartered in Portland, Oregon. (BPA BPA British Paediatric Association. ) that, if approved by the Oregon Public Utilities Commission (OPUC OPUC Oregon Public Utility Commission OPUC Old Pc Users Club ), will directly reduce the electricity bills of PGE's residential and small farm customers by 5.5 percent through the middle of the year 2001. PGE reached a tentative settlement with BPA last April, but BPA sought to renegotiate re·ne·go·ti·ate tr.v. re·ne·go·ti·at·ed, re·ne·go·ti·at·ing, re·ne·go·ti·ates 1. To negotiate anew. 2. To revise the terms of (a contract) so as to limit or regain excess profits gained by the contractor. after receiving public comment. The prior agreement provided for almost $25 million in direct benefits to PGE's customers plus an option for a power purchase. The new agreement will provide customers with $9 million more in monetary benefits to reduce their bills. "We're glad to finally have an agreement," said Al Alexanderson, PGE senior vice president. "We've worked hard to bring our customers the largest price decrease possible while preserving access to their share of federal hydro hy·dro adj. Hydroelectric. n. pl. hy·dros 1. Hydroelectric power. 2. A hydroelectric power plant. power." Alexanderson added, "Assuming BPA fairly allocates its power after 2001 to the residential customers of the private utilities, this seems like a reasonable settlement." PGE will file for a price decrease with the Oregon Public Utility Commission by Tuesday, September 8. If approved, it is expected to go into effect quickly. The settlement involved the "residential exchange," also known as the "Regional Power Act Credit." It is a mechanism established by the Northwest Power Act of 1980 that enables residential and small farm customers of investor-owned utilities to share in federal power produced by Columbia Basin The Columbia Basin, the drainage basin of the Columbia River, occupies a large area–about 673,396 square kilometres (260,000 square miles)—of the Pacific Northwest region of North America. dams and marketed by BPA at wholesale. Under the law, investor-owned utilities, such as PGE, pass on all the benefits from the exchange directly to their customers. Under the terms of the agreement, BPA will pay PGE $34.5 million, which will be used directly to reduce the bills of PGE's residential and small farm customers through mid-2001. The amount of power to be available to PGE's customers will be determined when BPA announces its new plan for power allocation on September 16 of this year. Members of the Citizens Utility Board (CUB cub the newborn of a number of animal species as diverse as lion, fox and bear. ) and OPUC staff helped negotiate this agreement on behalf of PGE customers. For further information, please call Jason Eisdorfer, CUB, 227-1984 and Commissioner Ron Eachus, OPUC, 503/378-6611.
CONTACT: Portland General Electric
Kregg Arntson, 503/464-7695
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