[USA] PacifiCorp urges FERC to dismiss challenges to wildfire-related costs in transmission rates

As of August 22, 2025, PacifiCorp is urging the Federal Energy Regulatory Commission to dismiss challenges to the company’s inclusion of $1.7 billion in wildfire-related costs and liabilities in transmission rates. [1] The utility company contends that “formal challenges” and complaints brought by the Bonneville Power Administration, Powerex Corp., Deseret Generation & Transmission Co-operative, and the Utah Associated Municipal Power Systems fail to show the costs were imprudently incurred. [2] The dispute arises as utilities face financial challenges stemming from wildfires exacerbated by climate change. In an August 4 filing with the US Securities and Exchange Commission, PacifiCorp stated that outstanding wildfire-related complaints in Oregon and California totaled approximately $54 billion, excluding any potential doubling of damages or punitive damages. PacifiCorp requests FERC for permission to include costs and liabilities related to wildfires from 2020 and 2022 in its transmission rates. The challengers to the updated rates assert that the company failed to show its wildfire-related costs were prudent. In joint comments, Pacific Gas & Electric, San Diego Gas & Electric, and Southern California Edison urged FERC to continue assessing allegations of imprudence on a case-by-case basis.

[1] https://elibrary.ferc.gov/eLibrary/filelist?accession_number=20250822-5198&optimized=false&sid=5e2eda9e-6933-44b6-b300-4304f6fb9ce2

[2] https://www.sec.gov/ix?doc=/Archives/edgar/data/0000075594/000108131625000013/bhe-20250630.htm