Customers of Eugene Water and Electric Board will see a hike in their monthly bills in the new year. The publicly owned utility announced that beginning in February, electric rates will increase by 7.7% and water rates will rise by 6.6%.
EWEB officials said since 2016, rate increases for customers in the Eugene Springfield area have lagged behind surging inflation in the electric and water sectors. The planned rate adjustments aim to bridge a 20% gap in the $489.6 million budget.
Jen Connors, EWEB Communications Supervisor, said that while the main drivers of the price changes are infrastructure investments and the rising costs of operations due to inflation, in the end, customers really want to know how their monthly expenses will change.
“So, based on average usage, the combined total residential rate increases for electricity and water together in 2025 will amount to less than a dollar a day,” Connors said.
Connors continued to explain how EWEB sets rates. “It’s a muti-step process called the ‘revenue requirement’ which is determined by how much the utility has to collect from customers in order to cover the costs associated with running the utility next year.”
That requirement affects funding vital for infrastructure projects including upgrades to the Carmen-Smith Hydroelectric Project and removal of the Leaburg Hydroelectric Project, according to EWEB officials.
Connors said EWEB electricity rates will go up again in October when the Bonneville Power Administration informs the utility of how much costs will increase. EWEB anticipates that price bump to be about 4%.
EWEB has a number of programs to help customers make energy and water efficiency upgrades to reduce their bills year-round. The utility’s Customer Care Program offers bill credits of $280 per year to income-qualifying households. Connors said EWEB will increase funding for the program by $275,000 to $1.6 million for the 2025 budget year.
More information on EWEB’s 2025 budget and rate changes can be found here.
