Utility Regulation Generally

ORS 757.603
Electric company required to provide cost-of-service rate option to all retail electricity consumers

  • waiver
  • portfolio of rate options for residential consumers


(a) Except as provided in this subsection, an electric company shall provide all retail electricity consumers that are connected to the electric company’s distribution system with a regulated, cost-of-service rate option.


The Public Utility Commission by order may waive the requirement of paragraph (a) of this subsection for any retail electricity consumer other than residential electricity consumers and small commercial electricity consumers. Before ordering a waiver under this paragraph, the commission shall conduct such studies as the commission deems necessary and provide notice and opportunity for public comment and hearings. The commission may order a waiver under this paragraph if the commission finds, based on an evidentiary record developed through public comment and hearings, that a market exists in which retail electricity consumers subject to the waiver are able to:


Purchase supplies of electricity adequate to meet the needs of the retail electricity consumers;


Obtain multiple offers for electricity supplies within a reasonable period of time;


Obtain reliable supplies of electricity; and


Purchase electricity at prices that are not unduly volatile and that are just and reasonable.


Each electric company shall provide each residential electricity consumer that is connected to its distribution system a portfolio of rate options. The portfolio shall include at least the following options:


A rate that reflects significant new renewable energy resources;


A market-based rate; and


If the commission finds, through public comment and hearing or through market research conducted by the electric company, that demand is sufficient to justify the rate, a rate option for electricity associated with a specific renewable energy resource, including solar photovoltaic energy.


(a) The commission shall regulate the cost-of-service rate option under subsection (1) of this section and the portfolio of rate options under subsection (2) of this section. The commission shall reasonably ensure that the costs and risks of serving each option are reflected in the rates for each option.


The commission may prohibit or otherwise limit the use of a cost-of-service rate by retail electricity consumers who have been served through direct access, and may limit switching among portfolio options and the cost-of-service rate by residential electricity consumers. [1999 c.865 §4; 2001 c.819 §2; 2015 c.556 §1]
Chapter 757

Notes of Decisions

Under regulatory scheme, Public Utility Commissioner has authority to promulgate rule limiting telephone company's liability for directory listing errors or omissions. Garrison v. Pacific NW Bell, 45 Or App 523, 608 P2d 1206 (1980)

Refund is proper exercise of Public Utility Commission's general powers if refund (1) is based only on information in existence at time of rate order for which refund is being made; (2) is not based on evaluation of public utility's actual expenses or revenues; and (3) is not effectuated by offsetting future rates. Gearhart v. Public Utility Commission, 255 Or App 58, 299 P3d 533 (2013), aff'd 356 Or 216, 339 P3d 904 (2014)

Atty. Gen. Opinions

Authority of Governor and Public Utility Commissioner to enter into binding agreements with respect to uniform curtailment plans, (1977) Vol 38, p 861


Last accessed
Jun. 26, 2021