By Aidan Mortensen | KOAL News

Eight months after the Utah Public Service Commission rejected its proposed 18.1% rate increase, instead setting it at just a 4.7% increase, Rocky Mountain Power is eying a Utah-specific rate change to offset the cost of wildfires in the state.

The proposed change would increase rates by 4.5%, a move that would pay for the company’s new wildfire liability insurance fund. This would mark an average increase of $3.70 a month beginning next May. This would go along with the already approved changes.

David Eskelsen, a spokesperson for Rocky Mountain Power, shared, “Catastrophic wildfires in Utah and other parts of the west have created a serious operational threat to electric utilities. The Utah legislation was designed to mitigate the financial consequences.”

Eskelsen is referring to SB224, a bill that created incentives for Rocky Mountain Power to keep its coal power plants running by establishing a “Utah fire fund,” an account RMP can use to cover utility-based wildfire damage in Utah.

The implementation of this law followed a massive increase in insurance for RMP’s parent company, Pacificorp, which saw the energy giant’s insurance rate jump by $115 million after a lawsuit ruled the company was liable for billions in damages from Oregon wildfires.

The spokesperson added, “This is for a specific account. It is specifically for Utah, and it will be transparent for what we charge for.”

The proposal has drawn the ire of volunteer group Utah Citizens Advocating Renewable Energy, with Outreach coordinator Stan Holmes stating,” We are fueling our own problem, based on what our customers buy. We are basically fueling Rocky Mountain Power, and we are paying the consequences.”

The Public Service Commission will discuss the proposal for the first time at a scheduling conference on Thursday evening.