Spokane7
65°
February 24, 2011 in Business
Avista reports salary, bonus figures
CEO made $3.25 million including bigger bonus
Avista Corp. Chairman and CEO Scott Morris earned $3.25 million in total compensation last year, the utility reported Wednesday.
Morris’ salary was unchanged from 2009, but a bigger bonus and an increase in the value of his pension plan pushed his total compensation up from $3 million two years ago.
Compensation for the Spokane-based utility’s top five executives was outlined in a preliminary proxy statement filed with the U.S. Securities and Exchange Commission.
Morris’ compensation package has several parts, said Jessie Wuerst, an Avista spokeswoman. He earned a $630,001 base salary; a $627,669 bonus based on Avista’s performance last year; and $47,408 in other pay, including company matches for his 401(k) contributions.
Other items listed in Morris’ pay package aren’t direct cash payments, Wuerst said. The total includes a $906,969 net increase in the value of his pension plan at retirement and stock awards valued at $1 million under accounting rules.
The stock-awards figure represents the value of Avista shares that Morris has the potential to earn over three years, Wuerst said.
Avista, which employs 1,500 people, compares its executive salaries to pay at other shareholder-owned utilities around the region. Morris, 53, has held Avista’s top executive job since January 2008.
While Morris’ base salary didn’t go up in 2010, four Avista vice presidents each got salary raises averaging 3.2 percent.
Wuerst said those vice presidents didn’t get a raise in 2009. A review by a consultant indicated that their pay lagged behind their peers at other utilities, she said.
Avista’s board of directors sets executive pay guidelines, including criteria for stock awards and cash incentives. Ratepayers, through their utility bills, pay for the majority of Morris’ and other executives’ base salaries and benefits. Wuerst said that about 18 cents of an average utility bill goes toward the salaries of Avista’s 13 highest paid executives.
Stockholders also contribute to executive pay. Stock awards are paid from Avista’s shareholder equity, which is the sum of its stock value and retained earnings. Wuerst said that performance bonuses are paid from company savings generated by efficient operations. Avista executives get the bonuses when the company meets certain benchmarks, including targets for the length of time needed to restore power after outages and overall customer satisfaction.
At Avista’s annual meeting on May 12, shareholders will vote on whether they want to review executive compensation packages before the packages become final. If shareholders approve the measure, they would weigh in through an advisory vote, but Avista’s board would continue to make the final decisions on executive pay.
| Executive | Salary | Compensation |
| Scott Morris (chairman, CEO) | $630,001 | $3,245,967 |
| Mark Thies (senior VP) | $323,077 | $854,760 |
| Dennis Vermillion (senior VP) | $298,078 | $966,337 |
| Marian Durkin (senior VP) | $281,463 | $830,451 |
| Karen Feltes (senior VP) | $246,461 | $864,018 |
| Source: Avista preliminary proxy |
Miners to return to Lucky Friday 
BillSuth on February 24 at 9:50 a.m.
I don’t know about the rest of you but I’m outraged that Avista, which is basically a monopoly, is allowed to pay their executives anywhere near these amounts. Having owned my own business I know what it takes to earn that amount of money and beleive me, there are few in this area who make this kind of money, and those that do have had to take risks and put their complete networth on the line to get there. These guys have no risk, run a monopoly, are protected by the state and have little concern with what the rates are doing to a lot of people in their area. What the heck is wrong with the board of directors?
Why is Avista allowed to be a monopoly. I’ll guarantee you that if this was open to competition there would be lower rates and the manager of the company would be glad to make 1/10 the amount these guys make.
We have people in Spokane having to make the decision of either paying the Avista bill or food and medicine. And we all sit on our butts, do absolutely nothing about it, and let them continue to monopolize us. Who do we have to contact to get this totally unacceptable situation turned around and run these crooks out of town? This has gone on way too long, lets do something about it.
misjustice on February 24 at 9:55 a.m.
It should be criminal that a person makes that amount of money on a publicly owned utility. With this economy as it is with so many people out of work, homeless, hungry & losing their homes, the pay of the Avista CEO’s should be investigated.
Not even the president of the United States makes that amount of money!
The article says only 18 cents of an average utility bill goes to the top 13 executives pay. If this is true, then just what is the annual revenue the PUBLIC utility brings in? I’m sorry, but no one is worth that amount of money in their monopoly position.
Orange on February 24 at 10:00 a.m.
Absolutely no one works hard enough to deserve a salary like what’s posted here.
I would say shame on them, but they’re smiling all the way to the bank. I don’t care what Dan the Mouth of Avista says in response to this, but Avista really doesn’t care about it’s community.
SR really shouldn’t have posted this. Only makes matters worse for our community’s health and attitudes towards the our utility’s and our city’s lack of management. Typical media probably. Stir the pot SR.
johnclarke on February 24 at 10:10 a.m.
I’m open to suggestions as to how to turn Avista into a PUD. Otherwise, I suggest everyone buy stock.
DickAdams on February 24 at 10:20 a.m.
The Cowles hold a huge number of shares with WWP, aka AVISTA.
eatlotacheese on February 24 at 10:22 a.m.
I’m amazed Avista’s propaganda guy hasn’t come on here to explain this is normal, it was well deserved, and prices are cheap. Because far be it for us peasants to question the pay of a utility CEO. They have to pay him this much stay competitive or risk losing such greed to a far more dubious company. It really is heartwarming to see my $130 a month bill for a two bedroom apartment is being spent well. Screw the improvements to the power grid and dams they said they needed when they put in for a rate increase. It should go to a insanely greedy CEO.
tea42 on February 24 at 10:34 a.m.
I give up……
reservedparking on February 24 at 10:41 a.m.
And people whine about union wages/benefits/pensions???
liberal_in_right_wing_land on February 24 at 10:42 a.m.
I wish I made that much money during the this recession.
Why does this company need that many executives? Why does a public utility feel the need to pay these people that much money while a large percentage of the people they are suppose to heat during the winter cannot afford to pay their own bill?
Waiting for the puppet Dan to come on here saying these salaries are justified. Hey Dan, how much does Avista pay you to spread their propaganda?
monkeyman on February 24 at 10:56 a.m.
I am interested in finding out Dan’s (the Avista-man) salary.
Specially, since I believe my bill includes a few cents towards paying for his job of spinning stories.
BTW, where is Dan? He needs to tell us how the management out-smarted the competition to deserve the compensation…
mzmaddie on February 24 at 10:57 a.m.
I don’t understand how these people sleep at night.
I signed up for the ‘comfort’ level and was given an amount that was payable my me..less than 8months into it..Avista advised me that that amount wasn’t quite high enough to cover their costs..so they raised it $25.00 a month..I know this may sound whiney..but I make just above the poverty level..and am budgeted to the last penny. They say they couldn’t help me. Sorry. Now I find out they all make soo much money…I’m thinking they all should take a 25percent cut and let us poor people stay warm this winter.
Sorry, just had to comment.
johnclarke on February 24 at 10:57 a.m.
Hey come on everyone! Don’t you know that Avista’s CEO has to be faced with huge decisions? Like for example, how to run a complete monopoly with free power supplied by our rivers ? Which corporate jet to take ? Which society functions to attend? Should Avista raise prices again? It has to be so stressful !
You all make it sound like $3.2 million is outrageous. Just wait for a few minutes and some one will come up with a study showing what a bargain we get. I myself am looking forward to a lecture on the free market from some of my right wing amigos. This is the way it SHOULD work people. What, are you all a bunch of liberals ?
Bruce (aka thatoneguy) on February 24 at 10:58 a.m.
Aww, poor Scott — only a $250,000 increase over last year. I feel bad. I’m in my second year of a salary freeze, but here, let me help you out…
Oh wait, I’m already helping you out. Well, best of luck.
Maybe this will help: Ramen noodles are on sale at Rosauers this week. (Well, at least they were last week when I stocked up…)
Dan_at_Avista on February 24 at 11:06 a.m.
I don’t expect anyone to be happy about the pay of someone else and I’m not posting here to defend what anyone makes – that’s not my job. Choose for yourself if you agree or disagree with it.
I’ll just offer this. The CEO of Avista Corp. is responsible for more than just the utility. It’s no small thing that Avista Corp. has several subsidiary companies – most notably Advantage IQ in Spokane that employs more than 500 people. Obviously the operating arm of Avista Corp. is Avista Utilities, but it’s worth noting the distinction when discussing compensation.
The story lists it well: an average utility customer pays 18 cents a month toward the salaries of all Avista officers. That’s less than ½ a cent of every dollar. That’s not justification, those are the facts.
Addressing questions on the S-R comments isn’t very efficient. If you’d like to discuss this issue or any other Avista or energy related topic, send me an e-mail at conversation@avistautilites.com.
rkellie on February 24 at 11:30 a.m.
OK Avista….regardless of what the amount is per bill that Avista top executives get, you need to look at what that ends up at in the end….the above amounts is ridiculous. Please don’t “dwindle” it down to the cents on the dollar to attempt to justify it. We are not as stupid as you may think. We may not have been smart enough to get/take a job that “rapes” the public but we are smart enough to look at what someone gets in the end - that my friend, is the amount that matters. It is ridiculous!
toliveanddieinla on February 24 at 11:31 a.m.
wow love the spokesman you got rid of 1 comment you guys in bed with avista?why you do that please do tell post on here why im waiting.
toliveanddieinla on February 24 at 11:35 a.m.
wow you can screw off spokesman your real smatrasses cant comment on greedy avista wow there goes my rights to freedom of speech ps wow what happened to spokane
zelda on February 24 at 11:35 a.m.
No one knows anymore what “reasonable compensation” is for CEOs and execs. There is no ceiling. By the same token if you ask a CEO what a fair tax rate would be the only answer you’ll get is zero. The board’s compensation committee decides executive pay. The compensation committe is composed of a subset of the directors. The directors are other CEOs and execs. It’s such a symbiotic arrangement in corporations (not just Avista). Most directors sit on multiple boards and you can be sure some of the Avista execs sit on the boards of some of the directors’ companies.
Mostly it’s a giant system where one hand washes the other. Maybe Avista, since its a publically regulated utility, has one quasi-independent director, but I imagine that person is outnumbered by the other directors.
The only hope is for shareholders with clout (usu. large public-employee pension funds) to make some noise and demand more independent directors. But unless these pension funds have more influence than certain private shareholders, nothing is likely to change.
I’m still wondering how Avista can charge more for natural gas when Dynergy is in a death spiral due to plummeting nat. gas prices, Carl Icahn is staging a takeover and the exec team is trying to quit en masse. Oh, well.
Orange on February 24 at 11:39 a.m.
That one would be obvious tolive. Not supposed to say Avista is in bed with anyone on here. Kind of against the rules.
Dan. You make a good point about broad and vast resonsibility. However, not to toot my own horn, I have multi-state responsibility of 14 manufacturing plants. No sorry, I don’t make any where near what your bosses make. And you didn’t defend him very well in your post. At least not compared to your recent defense’s of Avista. Are you too put off with how much your leadership makes? And make you go defend them on sometimes heated posts on SR?
lynns on February 24 at 11:43 a.m.
Toliveanddieinla: To quote our forum standards: “…we reserve the right to delete, move, or edit messages that we deem abusive, defamatory, obscene, in violation of copyright or trademark laws, or otherwise unacceptable. …You agree not to post messages or other content that…is abusive, harassing, or threatening; is obscene, vulgar, or profane”
Lynn, S-R web producer
Dazzeetrader11 on February 24 at 11:46 a.m.
I don’t think Dan should be nor does he have to defend anyone’s salaries. One more thing: Obama won’t help you.
AVISTA makes a lot of money. The financial infrastructure in Spokane has been like this forever. Don’t anitcipate any change.
detroitdude on February 24 at 11:48 a.m.
This message is for Karen Feltes. I would like to take you out on a date, I think you are a wonderful person and I would love to get to know you better, become friends, and in time get married. I’m not wealthy, but I do love money, and it seems you have a lot of it. So please, email me at chubby_chaser69@yahoo.com. Thank you :)
monkeyman on February 24 at 12:12 p.m.
@ Dan_at_Avista at 11:06 a.m. Feb 24:
“The story lists it well: an average utility customer pays 18 cents a month toward the salaries of all Avista officers. That’s less than ½ a cent of every dollar. That’s not justification, those are the facts.”
The fact above stated by you means 0.5% of revenues go towards officer’s salaries. (Note, revenue, not profit). I bet it is high, even for comparable businesses…
Albert on February 24 at 12:15 p.m.
Sick & disgusting are the only words that I can come up with. Dan, how do you sleep nights?
johnclarke on February 24 at 12:22 p.m.
Thanks Daisy, for finding a way to slip the word “Obama” into every post, regardless of topic.
Crank up the heat folks ! It’s cold outside.
monkeyman on February 24 at 12:27 p.m.
Slipping Obama’s name gets one warmly invited to Bush’s cozy ranch. Didn’t you know this…?
BillSuth on February 24 at 12:35 p.m.
If Dan had ever been a business owner he would know that 1/2 cents on the dollar is way out of whack for private business salary of the CEO. Well run companies are lucky if they can attain a 2.5 to 3.0% net profit. This is just another situation that needs to be rectified in our country. I for one, am not going to just forget this. I’m going to see what can be done and if we get enough of us complaining there will eventually be change. Sadly, it won’t come for the current CEO but “times are a changing” in this country.
eagleproducer on February 24 at 12:54 p.m.
I can’t believe people don’t understand why Morris receives such a generous compensation package. It’s incredibly difficult to hire, let alone retain, corporate officers to run monopolies with guaranteed profit structures.
PlanB on February 24 at 1:07 p.m.
Why the outrage? This has been going on for 100+ years.
Dan, so can I ‘opt out’ of the 18 cents per month? Maybe Morris should work for tips then we would have empirical evidence of what people really think.
reservedparking on February 24 at 1:28 p.m.
“…an average utility customer pays 18 cents a month toward the salaries of all Avista officers…”
So where does the rest of their compensation come from?
zelda on February 24 at 1:57 p.m.
It seems that the exec team is paid a lot when times are good because of their outstanding results and paid a lot when times are bad because of how tough their job is.
They really missed consensus EPS when they reported earnings Feb. 17. But having just the right metrics on “internal benchmarks” can do wonders for boosting exec compensation no matter what the results are.
Don’t know how compensation of CEOs is calculated in the utility industry [assuming it’s not the same as retail, finance or manufacturing] but these salaries seem high for a company with a market cap of $1.25B. Typically people buy utility stocks for the yield, so as long as they keep cranking out the dividends, most folks don’t care. However, if you’re a retiree and the dividend income is eroded by the continuously increasing rates, it does tend to get people riled up.
Another issue with companies like this is that they have very high retention rates for all employees, so total salaries and benefits keep climbing. Plus, given the age of the company, legacy costs in the form of retiree pensions and benefits could be huge. A lot of companies address this problem with layoffs, spin-offs, M&A or private equity sales — but I don’t see that happening to any great extent at Avista. Looks like their prime directive is self-preservation, i.e., community mainstay, avuncular caretaker, provincial patriarch. Similar to other regional utilities across the U.S. Reverting to form after that messy de-regulation experiment 10 years ago.
amn on February 24 at 2:14 p.m.
If he earned the salary, then he deserves it. He is the CEO of a federally regulated utility. The rates are set by the government. You all need to quit whining about an executive being compensated for running a successful company that is profitable and has not needed a government hand out. I doubt you would be whining if you were in his position running a large company and making the daily decisions he has to make and were compensated for that work. Scott is a good guy, works his butt off and makes several contributions that are never recognized.
opeled on February 24 at 2:23 p.m.
Seems their charter says Not for profit LOLOLOL
Orange on February 24 at 3:44 p.m.
Johnclarke, How do you turn Avista into a PUD. I’m curious. Grant Counties PUD is very successful. In fact, so much so, they attract new business to Central Washington such as BMW, Microsoft and Yahoo. All this just in the last 4 years. All because of low energy rates through Grant County PUD.
Another reason Spokane is stuck in a rut.
zelda on February 24 at 4:17 p.m.
@amn —
>>I doubt you would be whining if you were in his position running a large company and making the daily decisions he has to make and were compensated for that work. <<
Execs are supposed to be compensated for results, not for effort or being a nice guy. He’s being paid more than a lot of CEOs on the Fortune 100 who work in multi-national, highly competitive, dog-eat-dog industries.
My previous post was a long-winded way of saying that he’s overpaid by a factor of three.
eagleproducer on February 24 at 4:29 p.m.
http://www.facebook.com/home.php?sk=group_178750578809791&ap=1
I started this Facebook page months ago when Avista was requesting another rate increase. I posted the URL repeatedly on these threads.
Crickets.
From what I’ve read concerning the formation of PUDs in Washington, all it takes is a majority vote of the rate payers. I’m not certain of the steps that happen after the vote, but there is a W.A.C. that addresses the issue in full.
http://apps.leg.wa.gov/rcw/default.aspx?Cite=54
berrybestfarm on February 24 at 4:48 p.m.
If CEO Morris could somehow tighten his belt to just a million a year then the taxpayers would not have to pay the nearly 6,000 Avista bills SNAP has helped out on so far this year.
BillSuth on February 24 at 7:36 p.m.
amn. “The rates are set by the government. You all need to quit whining about an executive being compensated for running a successful company that is profitable and has not needed a government hand out.”
Amn, answer me one question. Who requests the rate increases?
Amn, answer me this question. How could you not be profitable when you run a company that’s a monopoly, there is no competition,
no other choice?
It seems to me the government is doing exactly that…they’re not getting a hand out but instead, a hand up. All the profits on the backs of all the people who are really having a tough time making the paynents.
If he’s such a good guy, why doesn’t he realize that these profits are at the expense of a lot of good folks who need some help?
UtilityGuy on February 24 at 9:57 p.m.
A local utility is always the easiest target…
Times ARE tough for many folks and now would be a great time to thank your lucky stars you pay utility rates in WA and ID as they are the CHEAPEST on average nationwide. By a long shot. That ain’t luck - it is leadership, vision and hard work by over a thousand of your neighbors from the executive staff to the lineman.
And while Scott’s compensation of over $3M is a lot of money (will not debate whether anybody is worth that while also noting lovable scamp Charlie Sheen makes $1.5M per episode), way less than half of that comes on the backs of we the rate payer.
And you think Avista - or ANY utility for that matter - gets preferential treatment from utility regulators?? Avista is MANDATED to spend money to make sure you use less of our product. How’s THAT for a great business model?
I work at Avista - proudly. I understand how rate-making works. I understand what it takes to keep lights on and gas flowing. I know the enormous regulatory hurdles we continually face. I see unworkable schemes from WA and DC legislators mandating renewable energy being forced down the throats of one of the greenest utilities in the nation. I’m friends with the folks that go out in the dead of winter to keep your power on during horrendous storms so you can watch Idol. Our executives make a lot of money but you know what? The large majority of that is paid by stockholders and investors (NOT rate-payers) as they DO recognize that Avista has continually been an extremely stable and well-run company which pays a steady dividend. And all that while rate-payers (I am one) ENJOY some of the lowest rates in the nation. That’s not by accident.
But honestly - its a lot easier to shake your fist at someone who has provided a steady hand over one of Spokane’s largest employers and who has positioned Avista to be able to continue to provide power and gas at rates the majority of the rest of the country would envy.
That ain’t luck.
monkeyman on February 24 at 11:05 p.m.
@ UtilityGuy on February 24 at 9:57 p.m.
“A local utility is always the easiest target…”
Your long post doesn’t say much other than that we should thank Avista and its great heroes for our relative good fortune. Superheroes at Avista are responsible for cheap rates we enjoy - and it has nothing to do with this area having abundant hydroelectric power available, combined with the supply/demand scenario.
If there was an easy way to export this cheap local power to the national grid, I bet it won’t be cheap here anymore either… - http://en.wikipedia.org/wiki/File:UnitedStatesPowerGrid.jpg
(West coast is on a separate grid.)
Patanjali on February 24 at 11:10 p.m.
Sounds like there is a consesus that Avista should be nationalized and owned by the government. I did not realize that we had so many people with socialistic tendencies in Spokane. I like it.
monkeyman on February 24 at 11:12 p.m.
@ UtilityGuy on February 24 at 9:57 p.m
” I’m friends with the folks that go out in the dead of winter to keep your power on during horrendous storms so you can watch Idol. ”
Are you suggesting these friends of your do this as a favor?
About the “Idol” - if you cannot present your argument without cheap shots (one of several), it shows that you don’t have a strong position…
UtilityGuy on February 25 at 7:48 a.m.
monkeyman - if the “Idol” comment never existed, would you have given yourself a chance to ponder anything else I posted? I doubt it. Admittedly it was a shot - but tame in comparison to numerous other posts personally attacking Avista and specific employees.
If the basis of your complaint is nobody should earn $3M then there is nothing else to discuss. If the basis of your complaint is Avista employees and executives are getting rich by screwing over our rate payers then I take extreme exception to that. Unfortunately your perception is our reality.
And the cheap hydropower comment… Other than the fact hydro makes up a little more than a third of our power portfolio (nobody seems to mention gas), and other than the fact Avista does not control the weather and snowpack and run-off timing and thousands of other variables, and other than the fact that the massive facilities cost tens of millions to maintain, hundreds of millions to license, and untold millions more to address the multiple layers of regulatory requirements and other interest groups then yeah - its really basically free.
And the “national grid” comment – I’m hoping you understand the huge power export to California (who’s rates are among the highest in the nation). They would take everything generated in the pacific northwest if they could. And every single one of those dollars from power sales does 1 thing - reduce our customers’ rates. We don’t line our pockets with power sales, we off-set our costs to provide gas and power to our customers keeping rates as low as we can.
I know nobody cares about this, but your rates… you know those rates that are among the cheapest in the nation? Still ain’t luck.
Orange on February 25 at 7:54 a.m.
Utilityguy, You’re incorrect that we pay far less than the rest of the nation. Paying $30 a month (even in today’s cold weather), in Grant County’s PUD vs. $350 a month for Avista is NOT comparable. Or did you use the low rates around Avista to knock down your “average”?
I’m 50% travel all over the US. One thing I noticed about other cities, their roads are intact, their cost of living is on par with local salary’s. I don’t care what you read in the news, you have to go see it for yourself. It’s really not as bad as the news let’s you believe. Places outside of Spokane are in my opinion healthy. Spokane, is an ugly place to live. And you don’t help matters any.
eagleproducer on February 25 at 3:47 p.m.
Okay, “utility guy,” I’ll take the bait and mention “gas.”
Of course you don’t want me to mention that wholesale rates for natural gas have plummeted since the recession began and Avista’s rates were set when the price for that commodity was nearly double what it is now. We should be getting rebates, not higher bills.
Prove to me that shareholders pay the salaries of the corporate officers. I’ve never read a more ridiculous statement in my life, and that is saying loads considering I’ve lived in Spokane and around ignorance most of my life. So you are saying the corporate model is to bilk investors into paying all of the company’s operating expenses with the hope they’ll weasel a profit from their heroic maneuverings? People don’t invest in companies to pay employees, they invest to make money for themselves. Those who purchase the products pay the piper and in Avista’s case that means the ratepayers.
All you who complained and then do nothing about this need to just shut up the next time Avista hikes your bill. I’ve been at every rate increase hearing of the W.U.T.C. for Avista the last five years and the lack of public outrage/concern is the exact reason their requests are repeatedly rubber-stamped by the commissioners.
Energy in the U.S. should be nationalized. Most of the energy is derived from publicly held resources and instead of benefiting from their existence we get to pay out the nose for them. What a great deal. It’s like almost everything else in the U.S. too. When are the rest of you going to wake up and realize how hard the screws have been being put to you?
It’s starting to happen…
Please.
ValleyGal_2010 on February 25 at 6:24 p.m.
Wow~ that’s a lot of money and perks for this economy and for a “living wage” for Spokane….. yes, people do need to wake up and if they can’t attend one of the hearings, they should write via snail mail or email and express their concerns~ not that it will do much good~ really amazing how their rates have gone up so much over the past few years….. and our paychecks haven’t……
Username01 on March 01 at 9:35 a.m.
Orange, I can’t let your last comment go without asking a couple of questions. You state the difference between a Grant County PUD and Avista bill is $320. Obviously you’re comparing an identical house and identical weather and identical usage when making this comparison. Oh, you’re not? That’s what I thought. I just pulled out my latest Avista bill and the rate is .0685/kilowatt hour with a base charge of $6. Grand County PUD’s rate per kilowatt hour (as stated on their website) is .037 and a base charge of .40 per day (~$12 per month). So yes, the Avista kilowatt rate is about twice what Grant County’s is so it’s very obvious that your higher Avista bill is mainly due to your higher usage.
kennyhuston on March 01 at 11:44 a.m.
So why do people who use Grant Co. PUD pay HALF the amount of rate that Avista customers pay? Is it a better quality of product which Avista sells? Please tell us Dan.
CougarGold on March 01 at 12:04 p.m.
Not Dan but you raised an interesting question so I took a look at Grant County PUD’s website. They own two dams that produce more than enough electricity to serve their own needs. They sell the excess into the market with virtually no cost to themselves which, in turn offsets their own rates substantially. Conversely, Avista has some of their own hydro generation but also relies on other more expensive sources, probably including buying some power from GCPUD. Avista has a much larger consumer base and not enough cheap hydro to meet demand: simply put, GCPUD has more supply than demand on their hydro and Avista is just the opposite and we pay more accordingly. Anyway, that’s my take on it.
Orange on March 01 at 3:59 p.m.
I spend the whole week here. How can my usage be less?
I’m saying this, I dont’ pay much here (PUD), but pay a fortune, (which some or most goes towards salary’s it seems) to Avista. Many years of bills to prove it username01 <–-Dan the voice of avista in disguise.
Dan_at_Avista on March 03 at 9:24 a.m.
Bill, you pretty much nailed that answer.
Orange, if I was going to go “under cover” on the blogs, I’d create a much more exciting username, although UserName01, sounds like he did his/her homework. Gotta love an informed group.
As always, happy to talk at conversation@avistautilities.com