
Kennewick-based Cascade Natural Gas Corp. will see its revenues grow by tens of millions of dollars over the next two years after reaching a settlement with the Washington Utilities and Transportation Commission to raise its rates.
Under the approved rates in the settlement, Cascade’s natural gas revenue will increase by $29.8 million, or 7.88%, in the first year, which began March 1, according to a UTC release. In the second year, beginning March 1, 2026, revenue will increase by $10.8 million, or 2.64%.
A typical residential customer using 53 therms per month will see their bill increase by $6.04 per month in the first year and $2.06 per month in the second year. A typical commercial customer using 277 therms per month will see an increase of $23.55 per month in the first year and $8.18 per month in the second year.
Cascade requested the rate increase just under a year ago, initially seeking to increase rates enough to generate $55.5 million over recent prices during the next two years.
The company said the main reasons for the rate increase were to invest in infrastructure and operations as well as cover maintenance costs and growth in depreciation expense.
“Making a request to increase prices is something Cascade does not take lightly and does its best to balance the cost to customers with the amount of investment necessary to ensure safe and reliable service,” the company said in a statement when it proposed the rate increase.
UTC officials say the settlement changes how Cascade can recover pipeline costs by shifting those costs into base rates. The cost schedule will allow the company to recover deferred expenses related to Covid-19 over the next three years. Additionally, the settlement removes a portion of the rate case expenses from the revenue requirement, which lowers costs for customers.
Cascade also will create a language access plan to better serve customers who speak languages other than English, track how much of customers’ income goes toward energy bills and how often customers face disconnections. This data will help assess the impacts of Cascade’s programs and if resources are fairly distributed to all customers.
Further, Cascade will eliminate natural gas line extension allowances for residential and commercial customers by March 1, 2027. This change aims to align with Washington’s clean energy goals while maintaining customer affordability.
“The commission’s decision ensures that Cascade’s rates remain fair, just, reasonable, and sufficient, while addressing affordability concerns for low-income and vulnerable customers,” UTC officials said in a statement.
Cascade serves more than 222,000 residential and business customers in 67 communities throughout Washington state, including Aberdeen, Bellingham, Bremerton, Kennewick, Longview, Moses Lake, Mount Vernon, Sunnyside, Walla Walla, Wenatchee and Yakima.