Avista among utilities requesting judicial review of Oregon’s Climate Protection Program

Avista, NW Natural, and Cascade Natural Gas are requesting a judicial review of the Oregon Department of Environmental Quality’s Climate Protection Program (CPP).

The suit, filed with the Oregon Court of Appeals, challenges the authority of the Department of Environmental Quality (DEQ) to enact and enforce the CPP.

The Climate Protection Program, which the state launched in 2022, is designed to reduce greenhouse gas emissions over the next 30 years. It does this by setting a declining limit, or cap, on greenhouse gas emissions from fossil fuels used throughout Oregon, including diesel, gasoline, natural gas, and propane. The program also regulates site-specific greenhouse gas emissions at manufacturing facilities with a best available emissions reductions approach.

While Avista is actively pursuing a clean energy future, company officials say it is important to balance environmental concerns with the affordability and reliability of energy for customers.

“Avista is committed to a greener future and decarbonization. This is why we and our partner utilities participated in the rulemaking process as the CPP was developed to help shape policy that would effectively move us toward lower emissions while maintaining affordability and reliability for those we serve,” Avista president and CEO Dennis Vermillion said. “Unfortunately, the CPP does not reflect our feedback or collaborative efforts, and it is not a constructive pathway for reducing emissions. We are disappointed in the outcome and the negative impact it will have on our customers. It will increase their cost of energy and may ultimately inconvenience them by causing them to replace their natural gas heating systems and appliances. Our customers value energy choice. This is why we are taking this legal action now.”

Avista officials take particular exception to the inclusion of natural gas in the CPP. Natural gas continues to be an important option for its customers, officials said. It provides access to cleaner and more affordable energy, along with the reliability of the energy. Also, as a clean fuel, it plays a key role in reducing carbon emissions, particularly compared to wood, heating oil, and other fuels. Avista has long worked with customers to replace dirtier fuels, such as wood, pellets, oil, or kerosene, with natural gas.

While Avista is challenging the CPP, it will take the necessary steps to comply with the rule.

Avista Utilities provides energy services and electricity to 403,000 customers and natural gas to 369,000 customers in a service territory covering 30,000 square miles in eastern Washington, northern Idaho, and parts of southern and eastern Oregon.