Commission Meeting News

Planning today for a strong future: Chelan PUD proposes five-year rate plan

by Rachel Hansen | Oct 19, 2026

Chelan PUD commissioners are considering a five-year rate plan designed to keep electric, water, wastewater and fiber services reliable and sustainable for future generations.

Here’s how the proposed rate plan would impact residential customer bills, based on average usage:

  • Electricity: 5% annual increase, or about $3.50 more on the average monthly bill
  • Water: 2.5% annual increase, or about $2 more on the average monthly bill
  • Wastewater: 4% annual increase, or about $4 more on the average monthly bill
  • Wholesale fiber, 2.5% annual increase deferred for 2027

"At Chelan PUD, we're not just planning for next year. We're planning for the next 50 years," said General Manager Kirk Hudson. "By investing in our systems now, we can reduce the risk of higher costs and service challenges for future generations of customers."

The goal of the 5-year rate plan is to provide predictable, gradual increases that keep pace with the cost of providing service. If the proposal is adopted, rates will increase every year on June 1, 2027 through 2031, pending annual review by the board of commissioners.

Rising costs for materials, supplies and equipment required to maintain reliability are one of the drivers for the increase. Since 2019, the cost of key equipment and materials has increased more than general inflation. Industry-wide, the cost of wire and cable has risen 152%, and transformer costs have increased 89%.

Another driver for the 5% electric rate increase is to avoid over-reliance on favorable markets for surplus energy sales. For years, Chelan PUD has relied on surplus hydropower sales to help keep customer rates low. As the gap grows between the rising cost of service and the rates customers pay, relying on power sales to make up the difference will become harder to sustain long term.

If the plan is adopted, Chelan PUD’s rates will remain substantially lower than average in the Pacific Northwest and nationwide.

Chelan PUD has several tools to help customers with their bill, including a recently-expanded billing assistance program that offers 25% monthly discount on water, wastewater and electricity bills for income-qualified households. Customers can apply on-line at chelanpud.org/discounts.

Later this fall, the PUD will launch increased rebates to make home energy efficiency improvements more affordable for income-qualified households. Learn more at chelanpud.org/reach.

Chelan PUD will host three community meetings and a formal public hearing to discuss the five-year rate plan and collect feedback:

  • 5:30 p.m. Oct. 26 – Leavenworth PUD Office, 222 Chumstick Highway, Leavenworth
  • 5:30 p.m. Oct. 27 – Chelan PUD Office, 1034 E. Woodin Ave., Chelan
  • 5:30 p.m. Oct. 28 – Chelan PUD Service Center, 203 Olds Station Road, Wenatchee
  • 10 a.m. Nov. 2 – Public Hearing, Chelan PUD Service Center, 203 Olds Station Road, Wenatchee

Customer-owners can learn more, ask questions and submit comments by visiting chelanpud.org or emailing [email protected].