Grant PUD commissioners to vote on Class 17 rate increase

But increases for ‘emerging industries’ smaller than anticipated

EPHRATA — Rates charged by Grant County PUD to its “emerging industries” class could be increasing in April, but not as much as originally anticipated. Utility district commissioners will consider a recommendation to raise rates at their March 10 meeting.

Emerging industries, designated as Class 17, will be the only class to have a rate increase in 2020. So far, cryptocurrency operations are the only industry included in that class.

The emerging industries class was established in August 2018, following a substantial increase in requests for, and inquiries about, electrical service. The new rates went into effect in April 2019, and the full rates will be phased in over three years. Some cryptocurrency business owners contested the decision by filing suit against the PUD in federal court. The case is pending.

Currently cryptocurrency operations use an average of 22.5 megawatts per day in Grant County, up from an average of 8.7 megawatts per day in 2017, according to a presentation to commissioners at their Feb. 25 meeting.

There are two rates, depending on whether the operation consumes more or less than 200 kilowatts per hour. Rates for customers with more than 200 kWh consumption will be 4.3 cents per kilowatt-hour after April 1, when the new rates would go into effect if the proposal is approved by commissioners. Customers using less than 200 kW per hour would pay 8.7 cents per kilowatt-hour.

That’s an increase, but a smaller increase than originally projected in fall 2018. Louis Szablya, of the PUD’s large power customer unit, said that reflects the reduction in demand from Class 17 customers. At the same time, demand from other customers has increased, Szablya said, ag processing being one example.

As a result, he said, the impact of cryptocurrency is less than anticipated.

“Our loads are growing very fast, and the faster they grow, the less important (each) small group is,” Szablya said.

Class 17 rates are reviewed every year and adjusted depending on the impact on overall electrical demand.

Cheryl Schweizer can be reached via email at education@columbiabasinherald.com.