PUD Commission Explores Capacity Charge
The PUD purchased an aging grid, and portions of the grid are at capacity for current customers. New development on those systems risks decreased service reliability for existing customers.
The proposed capacity charge would be a one-time charge to recover costs from new customers, both residential and commercial, with funds going directly toward expanding the existing grid for all customers.
Electric service fees for new construction are dependent upon the service size needed. The 100% max proposed fee for electrical is $112/kVA, meaning the capital fee for a 200A (48kVA) residential service, would be $5,376.
The PUD commission is exploring a reduced percentage under the 100% max and even further reductions for affordable housing projects. The current Equivalent Residential Unit (ERU) water service charge starts at $2,000 and is dependent upon service location. The updated 100% max charge for water would be $4,065 per connection.
Capacity service charge aid the PUDs general facilities upstream of the customer which are not recovered from existing fees. Revenue from capacity charges will only be used for capital or debt service. The proposal is seeking Board approval for implementation in 2024.
