06.15.06

Cantwell: Northwest Delegation Stops BPA Rate Hike

Senator Applauds Final Congressional Approval of Bipartisan Measure Blocking Northwest Electricity Rate Increase

WASHINGTON, DC – Thursday, U.S. Senator Maria Cantwell (D-WA) reiterated her commitment to preserving cost-based power in the Pacific Northwest following final House and Senate approval of a bipartisan provision blocking an administration plan to raise Northwest rates. The measure was included in the Emergency Supplemental Appropriations Act for Defense, the Global War on Terror, and Hurricane Recovery, passed by Congress today. Cantwell has been working with her Northwest colleagues to block the rate hike proposal since the Bush Administration announced plans in February to reverse a decades-old Bonneville Power Administration (BPA) policy of using revenue from surplus power sales to lower electricity costs for Northwest ratepayers.

“An energy rate hike is like a tax on the Northwest economy, and I’m proud that the entire Northwest delegation came together to stand up for Northwest families and businesses.” said Cantwell, a member of the Senate Energy Committee. “This ill-advised proposal would erode our historic system of cost-based hydropower, stunt economic growth, and deliver a setback to Northwest businesses and consumers already struggling with record high energy costs. Cost-based electricity rates are the foundation of our regional economy.”

On April 4, the Senate Appropriations Committee approved an amendment to the Emergency Supplemental Appropriations Act that would prevent the Bush Administration from implementing the rate hike through April 1, 2007. On May 4, the Senate passed the legislation with Cantwell’s support. In a bipartisan letter sent in May to conference committee leaders, Cantwell and 22 other members of the Pacific Northwest congressional delegation urged that the Senate language be kept in the final version of the legislation. Thursday morning, in a move supported by Cantwell, the Senate gave final approval to the Emergency Supplemental Appropriations Act, which will now go to the President for his signature. The House passed the bill on Tuesday.

Earlier this spring, Cantwell and other Northwest members of the Senate Energy Committee met with Energy Secretary Samuel Bodman to express opposition to the plan and question the administration’s legal authority to pursue the proposal. Cantwell also launched a petition, signed by more than 9,000 ratepayers, opposing the rate hike plan. Last Friday, Cantwell joined her Senate colleagues from Idaho, Montana, Washington, and Oregon in a letter to Rob Portman, the new Director of the Office of Management and Budget (OMB) requesting a meeting to discuss BPA rates.

Cantwell helped stop a similar BPA rate hike proposal last year. This year, the Bush Administration has been trying to implement a rate hike through an administrative process without Congressional approval.

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