What PSE’s newly increased rates mean for your budget
Jan 17, 2025, 1:07 PM | Updated: 1:28 pm
Two PSE employees look onward toward the company's fleet of vehicles before taking off for repairs after the region's bomb cyclone weather event. (Photo courtesy of PSE)
(Photo courtesy of PSE)
Expect to be paying more for gas and electricity if you’re a Puget Sound Energy (PSE) customer.
The Utility and Transportation Commission (UTC) approved new rate hikes, which will take effect over the next two years, citing the raised prices support state laws focused on transitioning to clean energy.
More local utilities rising in price: Tacoma Public Utilities rates to go up for the next 2 years
UTC is a state-operated agency that regulates private, investor-owned electric and natural gas utilities in Washington.
“A typical residential electric customer using 800 kWh of energy per month can expect an increase of $13.08, or 12% in 2025 for an average monthly bill of $122.16,” UTC stated in a prepared release. “An additional $7.67, or 6.3% monthly increase, is expected in 2026, resulting in an average monthly bill of $129.83.”
Typical gas customers, someone using approximately 64 therms per month, should expect to see a monthly increase of $7.50 this year (9.4%), with another $1.65 increase (1.9%) in 2026.
While UTC approved the rate increases, the commission rejected the company’s request to include projects involving alternative fuels, such as renewable natural gas and hydrogen, in the rate structure.
“The commission’s decision supports state laws focused on transitioning to clean energy while ensuring fairness for customers and encouraging utilities to consider their impact on low-income households,” UTC’s statement continued. “The commission also authorized PSE to start recovering a return on specific purchase power agreements.”
More on PSE: Puget Sound Energy customers now paying more as rate hike takes effect
According to UTC, this is the first time the commission has allowed a return on these agreements under the Clean Energy Transformation Act.
PSE, based in Bellevue, provides electric service to more than 1.2 million customers across eight Washington counties. Its natural gas service is used by more than 900,000 customers in six Washington counties.
Frank Sumrall is a content editor at MyNorthwest and producer of the Seattle Seahawks podcast, The Reset with Gee Scott. You can read his stories here and you can email him here.
