State regulators approve NW Natural Gas multi-year rate plan with conditions

Media contact: [email protected] or 360-664-1116
Docket number: UE-250610

New NW Natural Gas rates go into effect Aug. 1, 2026

LACEY, Wash. - Today, state regulators at the Washington Utilities and Transportation Commission (UTC) have issued an order on a new multi-year rate plan for Northwest Natural Gas (NW Natural), the largest standalone gas utility in the state. The plan changes the amount of revenue the company can collect from its Washington customers over the next three years.

Starting on Aug. 1, residential customers will see an increase in their natural gas costs. However, the commission-approved increases are smaller than what NW Natural originally requested.

Note: Residential estimates are based on an average monthly use of 54 therms.

Regulators agreed to a compromise reached by NW Natural, commission staff, and other groups, such as low-income advocates. They added two required conditions to the rate plan:

1. The commission removed a proposed geothermal heating and cooling project in Vancouver from customer rates due to the customer impact after a major decrease in expected grant funding. The company may resubmit this request if things change in the future.
2. The commission excluded all remaining charitable expenses from the rate plan. State rules do not allow utilities to charge customers for company donations.

The commission decided not to change NW Natural's tariff for line extension allowances, which helps cover connection costs for new gas customers. The Public Counsel Unit of the State Attorney General's Office did not support this decision or the ongoing fees for new connections.

The commission's decision includes extra protections for households facing financial hardships:

• Starting Nov. 1, NW Natural cannot disconnect a customer's gas service for non-payment until the past-due balance reaches at least $250. The previous limit was $150.
• Agencies that collect debt for NW Natural can no longer report late gas bill payments to credit bureaus.
• NW Natural must create a plan by Dec. 31 to provide customers with information and bill details in their preferred language.
• Every two to four years, NW Natural will review how much of each household's income goes to energy bills. This helps ensure that low-income assistance programs are effective for customers.

The new rates and protection rules go into effect on Aug. 1.

About Northwest Natural

Portland-based NW Natural provides natural gas service to approximately two million people in more than 140 communities through 800,000 meters in Oregon and Southwest Washington.

About the UTC

The UTC regulates investor-owned electric and natural gas utilities in Washington. The commission ensures regulated companies provide safe, equitable, and reliable service to customers at reasonable rates, while earning a fair profit.

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