Portland General Electric announced Wednesday, June 3, that it plans to raise electricity rates by 29% for large load customers such as data centers, while cutting residential rates by 1.3% and commercial rates by 2.2%. The changes implement Oregon's POWER Act, a law passed last year that created a new rate class requiring data centers, cryptocurrency operations, and other facilities using more than 20 megawatts to pay their full share of electricity costs.
PGE says at least 16 data centers will be affected. The Oregon Public Utility Commission must review the changes, and if approved, the new rates take effect June 10. According to the Oregon Citizens' Utility Board, residential customers had been paying more than twice as much per kilowatt-hour as data centers under the prior structure.
The shift comes as data center growth strains utilities nationwide. Oregon hosts 125 data center facilities, according to Data Center Map, and ratepayers have so far shared the costs of connecting them to the grid. PGE raised residential rates 5% in April, adding about $8 to a typical monthly bill, and rates from every major state-regulated utility in Oregon have climbed since 2020, some by more than 50%.
PGE officials said the approach ensures the customers driving infrastructure growth pay for it, protecting households and small businesses. The utility board called the change a win for Oregon households but said further adjustments are still needed, including how local distribution costs are allocated.
Source: Oregon Public Broadcasting -- https://www.opb.org/article/2026/06/04/data-centers-utility-rate-pge/