SALEM, Ore. – The Oregon Public Utility Commission (PUC) has begun a formal review process of a recent filing submitted by Portland General Electric (PGE), initiating staff and stakeholder examination of proposed tariff changes tied to the state’s new data center rate framework.
The filing, submitted June 3, is intended to comply with Commission Order No. 26-154 and follows the PUC’s May 7, 2026 decision implementing the POWER Act under House Bill 3546 (2025) POWER Act. The legislation established new regulatory authority and rate structures designed to address the rapid growth of large electricity users, particularly data centers, while protecting residential and small business customers from bearing associated infrastructure costs.
According to the Commission, the review period will focus on verifying that PGE’s proposed tariff revisions accurately reflect the intent and requirements of the prior order and the broader legislative framework. The filing spans nearly 200 pages and includes new data center-specific rate designs, updated interconnection rules, revised cost allocation methodologies tied to peak demand, and a surcharge intended to fund targeted energy programs.
PUC staff will also evaluate updated base rates and other adjustments linked to system growth and demand patterns. The utility estimates the changes would apply to roughly 963,000 customers, while noting that the overall proposal is not expected to alter PGE’s total revenue.
“The Commission determined that additional time is needed for staff to carefully review the large volume of tariff updates to prevent errors and ensure customers are protected,” said PUC Chair Letha Tawney. “Since 2023, our focus has been on protecting Oregonians from the rising costs of rapid data center growth. Passage of the POWER Act in 2025 provided the Commission with new regulatory tools to address the challenge. Taking time for review now ensures these updated rates accurately reflect the Commission’s decision and accomplish the Legislature’s intent.”
The Commission expects to issue a final decision on the filing during its July 7 public meeting, following further analysis by staff and input from stakeholders.
Officials said the review process is essential to ensuring that large-load customers, including data centers, are fully responsible for their cost of service before any changes take effect.
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