Avista files four-year rate plan in Washington to support reliable service and maintain critical infrastructure
Rhea-AI Summary
Avista (NYSE: AVA) filed a four-year general rate case with the Washington Utilities and Transportation Commission on Jan 16, 2026, seeking multi-year rate changes to fund grid upgrades, wildfire resiliency, hydropower work, compliance with CCA and CETA, and higher purchased power costs. The Commission has up to 11 months to decide, with new rates proposed to start Jan 1 of 2027–2030.
The filing proposes a larger first-year increase to recover past investments and updated power costs; example impacts include a Washington residential electric customer (925 kWh/mo) rising from $124.23 today to $157.94 in 2030, and a residential gas customer (61 therms/mo) rising from $91.06 to $100.46 in 2030.
Positive
- Multi-year plan (2027–2030) provides rate predictability for customers
- Targets investments in grid modernization, wildfire resiliency, and hydro upgrades
- Addresses compliance with Climate Commitment Act and Clean Energy Transformation Act
- Proposes customer assistance programs covering nearly one in three Washington customers
Negative
- Proposed 2027 electric increase of up to 13.9% for most schedules
- Average Washington residential electric bill projected to rise by $33.71 (to $157.94) by 2030
- Average Washington residential natural gas bill projected to rise by $9.40 (to $100.46) by 2030
News Market Reaction
On the day this news was published, AVA declined 0.30%, reflecting a mild negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
AVA gained 1.24% while peers were mixed: AES up 2.56%, UTL up 0.98%, AQN up 0.47%, CIG up 0.51%, and ALE down 0.10%. Moves do not indicate a unified sector rotation.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Dec 29 | Community grants | Positive | +0.4% | Foundation awarded over $336,000 in Q3–Q4 2025 community grants. |
| Dec 23 | ESG disclosure update | Neutral | -0.1% | Updated Corporate Responsibility report and expanded sustainability disclosures. |
| Nov 12 | Dividend declaration | Positive | -0.8% | Board declared quarterly common dividend of <b>$0.49</b> per share. |
| Nov 05 | Q3 2025 earnings | Positive | +2.7% | Strong Q3 EPS and reaffirmed 2025 guidance with long-term capex plans. |
| Oct 14 | Earnings call notice | Neutral | +1.9% | Announced schedule and access details for Q3 2025 earnings call. |
Most prior news items showed modest price alignment, with one dividend-related divergence.
Over the past few months, Avista issued several stakeholder-focused updates. A Dec 29, 2025 foundation release detailed $336,150 in Q3–Q4 grants and more than $832,350 in 2025 support. On Dec 23, 2025, Avista expanded ESG and sustainability disclosures via an updated Corporate Responsibility report. Earlier, Q3 2025 results on Nov 5 highlighted EPS growth, 2025 guidance of $2.52–$2.72, and $3.7B capex plans through 2030. The new Washington rate case filing fits this pattern of long-term planning and regulated growth initiatives.
Market Pulse Summary
This announcement outlines a four-year Washington general rate case aimed at funding grid modernization, wildfire resiliency, and clean energy compliance under laws like the CCA and CETA. It details specific annual electric and gas increases and their impact on average residential bills through 2030. In context of recent strong Q3 2025 results and long-term capex plans of $3.7B through 2030, investors may watch how regulators respond and how customer affordability programs are utilized.
Key Terms
general rate case regulatory
Climate Commitment Act regulatory
Clean Energy Transformation Act regulatory
substation technical
hydroelectric technical
therms technical
AI-generated analysis. Not financial advice.
Proposal aims to deliver predictable costs while addressing grid upgrades, wildfire resiliency, and higher power supply expenses.
SPOKANE, Wash., Jan. 16, 2026 (GLOBE NEWSWIRE) -- Today Avista (NYSE: AVA) filed a four-year general rate case with the Washington Utilities and Transportation Commission (WUTC or Commission). The Commission has up to eleven months to review the general rate case filings and issue a decision in late 2026.
Why is a rate increase needed?
This proposal is designed to keep energy service in our region safe and reliable now and into the future, reflecting our commitment to thoughtful, long-term planning for the communities we serve. It addresses rising costs associated with maintaining and modernizing the grid, complying with clean energy laws, covering the increased cost of purchased power, investing in hydropower infrastructure improvements, and protecting our communities from emerging risks like wildfires and catastrophic weather events.
"As a lifelong member of this community, I recognize that rising energy costs are difficult for our customers," said Heather Rosentrater, Avista President and CEO. “While this rate request reflects what’s needed to maintain safe, reliable service, we’re committed to helping customers manage their bills through payment assistance programs and energy-saving tools, while continuing to control costs and investing in technology to improve efficiencies.”
“This proposal helps us make the investments needed for reliability and critical infrastructure, while giving our customers more predictability over the next four years,” continued Rosentrater.
What is driving increased energy costs?
Our request is driven by the need to recover increased operating and maintenance costs and to fund critical investments that impact energy costs, including:
- Power generation and supply – Rising costs to produce and purchase electricity that meets regional clean energy requirements
- Infrastructure upgrades – Modernizing and securing the electric grid, expanding substation capacity, updating century-old hydroelectric facilities, and replacing aging natural gas pipe to continue to serve safe and reliable energy across our region
- Wildfire safety and prevention – Vegetation management, grid hardening, and advanced wildfire risk monitoring to improve resiliency throughout our service territory
- Technology improvements – Improving the reliability and efficiency of systems that serve our customers
- Regional growth and reliability – Planning ahead to meet the changing energy needs of our growing region
- Clean energy compliance – Meeting state and regional energy requirements, such as the Climate Commitment Act (CCA) and the Clean Energy Transformation Act (CETA)
How much would customer bills be affected?
New electric and natural gas rates are proposed to start January 1 of 2027, 2028, 2029, and 2030. The proposed first year increase is larger because it includes costs from past investments and updated power supply costs that are not in current rates. It’s important for customers to know the exact impact of any increase depends on their rate schedule and how much energy they use.
The proposed increase by service schedule is as follows:
| Proposed Annual Percentage Increases by Service Type | |||||||||
| Service Type | 2027 | 2028 | 2029 | 2030 | |||||
| Electric-Most Schedules (Residential, General Service, Large General Service, Pumping Service, Street/Area Lights) | |||||||||
| Electric-Large General Service (Special Contract) | |||||||||
| Natural Gas-General Service (101) | |||||||||
| Natural Gas-Large General (111,112,116) | |||||||||
| Natural Gas-Interruptible (131, 132) | |||||||||
| Natural Gas-Transportation (146) | |||||||||
If approved, the average Washington residential electric customer using 925 kWh per month would see an increase from
The average Washington residential natural gas customer using 61 therms per month would see an increase from
What options do customers who need help with their bills have?
We understand household costs are increasing, and energy is one part of that. We offer tools and programs to help customers manage their energy costs and stay on track, including:
- Bill Discounts: My Energy Discount offers customers who qualify a personalized monthly bill discount. It’s easy to enroll, has flexible requirements, and lasts for two years. Nearly one in three Washington customers are eligible.
- Flexible Billing: Options like Comfort Level Billing, preferred due date, and payment arrangements help spread billed costs out to give customers more control.
- Energy-Saving Tools: Online energy insight tools allow customers to track their energy use and make adjustments to reduce. Do-it-yourself tips and videos, money-saving rebates, and a free home energy audit help lower energy use and costs.
- Community Support: Partnerships with local agencies provide emergency grants, home weatherization upgrades, and heating system improvements for those who qualify.
- Extra Help: Our CARES team connects customers with resources for housing, medical assistance, and other needs during tough times.
Customers can learn more about their options at myavista.com/assistance or by calling 1-800-227-9187.
About Avista Corp.
Avista Corp. is an energy company involved in the production, transmission and distribution of energy as well as other energy-related businesses. Avista Utilities is our operating division that provides electric service to 422,000 customers and natural gas to 383,000 customers. Our service territory covers 30,000 square miles in eastern Washington, northern Idaho and parts of southern and eastern Oregon, with a population of 1.7 million. AERC is an Avista subsidiary that, through its subsidiary AEL&P, provides retail electric service to 17,000 customers in the city and borough of Juneau, Alaska. Our stock is traded under the ticker symbol “AVA”. For more information about Avista, please visit www.avistacorp.com.
This news release contains forward-looking statements regarding the company’s current expectations. Forward-looking statements are all statements other than historical facts. Such statements speak only as of the date of the news release and are subject to a variety of risks and uncertainties, many of which are beyond the company’s control, which could cause actual results to differ materially from the expectations. These risks and uncertainties include, in addition to those discussed herein, all of the factors discussed in the company’s and the Quarterly Report on Form 10-Q for the quarter ended Sept. 30, 2025, and its Annual Report on Form 10-K for the year ended Dec. 31, 2025.
Avista Corp. and the Avista Corp. logo are trademarks of Avista Corporation.
SOURCE: Avista Corporation
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Contact:
Media: Lena Funston (509) 495-8090 lena.funston@avistacorp.com
Investors: Stacey Walters (509) 495-2046 stacey.walters@avistacorp.com
Avista 24/7 Media Access (509) 495-4174
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FAQ
What did Avista (AVA) file with the Washington commission on January 16, 2026?
How much would the average Washington residential electric bill change under Avista's AVA proposal?
What is driving Avista's proposed rate increases for AVA?
What is the proposed 2027 increase for most Avista electric customer schedules (AVA)?
What customer assistance options did Avista (AVA) highlight in the filing?
