Home > Rates and Pricing > How Rates are SetHow Rates are Set
Avista is a regulated utility. That term – regulated utility – is important because it means public utility commissions in Washington, Idaho and Oregon set our rates.
Some may think that we can raise rates whenever we want. Actually the opposite is true. As a regulated utility, our rates can change only with state approval. Here’s how it works. When our costs change, we file a request with the state regulatory commission to adjust rates. They:
- scrutinize our costs
- review thousands of pages of information
- take public testimony
Based on its investigation, the commission sets rates it believes serve the public interest – rates that are reasonable and fair for customers, while allowing Avista the opportunity to be a viable, healthy business and earn a fair return for shareholders. That's important so we can continue delivering safe, reliable
energy to you.
How long does it take to adjust rates? It depends on the state and the type of request being made. A general rate case request can take up to 11 months in Washington, 10 months in Oregon and seven months in Idaho.
