Whatcom utility provider studied replacing PSE. Here’s what they decided
Whatcom County Public Utility District 1 had hoped to replace Puget Sound Energy as the electric supplier for much of Whatcom County, but a recently released study shows that isn’t feasible now.
It will cost too much to buy electrical power from the federal government, said Chris Heimgartner, general manager of Whatcom PUD-1.
“The study concluded that while clear local benefits of an expansion exist, such as local control and community ownership of the electrical system, the present added costs outweighed the net value,” Heimgartner said in an emailed statement Wednesday, March 8.
That study was commissioned in fall of 2022 for $76,060 and was just completed.
Public Utility District 1, located near Ferndale, is a public agency that buys electricity from the federal Bonneville Power Administration and supplies Phillips 66 Refinery with power and operates two water-treatment plants.
In 2023, its budget is $22.4 million and it is governed by a three-member elected board.
“The study noted that at this time there was limited low-cost power available from the Bonneville Power Administration to serve an expanded customer base in Whatcom County which means the PUD would have to purchase electricity in the wholesale market. Current market rates for power would push customer costs to be higher than they are currently paying,” Heimgartner said.
Whatcom PUD Commissioner Christine Grant said a public workshop is planned in April to discuss the study and its implications.
“Many of the costs and benefits studied are changing over time so we could reach a different conclusion in the future. Our commission is committed to revisiting this decision as those numbers change,” Grant said.