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Utah Clean Energy says Rocky Mountain Power plan could raise costs, utility disagrees

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Utah Clean Energy says Rocky Mountain Power plan could raise costs, utility disagrees
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As Utah residents grapple with rising costs, a debate is emerging over whether future electricity rates could be lower.Utah Clean Energy, a nonprofit advocacy o

As Utah residents grapple with rising costs, a debate is emerging over whether future electricity rates could be lower. Utah Clean Energy, a nonprofit advocacy organization, filed a motion with the Utah Public Service Commission challenging part of Rocky Mountain Power's latest Integrated Resource Plan, or IRP.

The long-term planning document outlines how the utility expects to meet future energy demand. The organization argues Rocky Mountain Power's plan does not adequately account for renewable energy projects that could still qualify for federal tax credits before those incentives expire.

"The federal government is essentially saying, we'd be happy to help you help pay for your electricity and keep your rates low," said Dr. Logan Mitchell, a climate scientist with Utah Clean Energy. Washington County pays residents to replace grass with water-efficient landscaping"The difference that we're seeing between last year's plan and this year's plan is, it's actually a $10 billion more expensive plan this year," Mitchell said.

"About $6 billion of that is from not pursuing tax credits. " Mitchell said the remaining $4 billion comes from increased reliance on natural gas and coal-fired generation. In a written response, the utility said the objective of its Integrated Resource Plan is to identify the "least-cost, least-risk portfolio of resources" for customers.

The company said it uses detailed modeling to evaluate a 20-year planning horizon, considering future customer demand, system reliability, available energy resources, costs and state and federal regulations.

"The IRP evaluates hundreds of variables and price scenarios to arrive at a preferred portfolio of resources that are in the best interests of customers," the company said. Utah Clean Energy also argues the utility's latest plan includes fewer renewable energy projects than previous versions. Rocky Mountain Power said changes in the 2025 IRP update were driven largely by federal legislation passed in July 2025 that repealed major portions of the Inflation Reduction Act.

According to the utility, the law phases out or eliminates tax incentives that had significantly reduced the cost of new wind and solar projects.

"Those changes significantly altered the calculation of costs to customers for new wind and solar resources," the company said. Rocky Mountain Power emphasized that it does not set energy policy and instead implements policies established by state and federal lawmakers. Despite the changes, the utility said its preferred resource portfolio still includes substantial renewable energy development through 2045, including 3,705 megawatts of wind generation, 2,477 megawatts of utility-scale solar and 354 megawatts of small-scale solar.

Mitchell argues some renewable projects already in development could still qualify for incentives before they expire. Rocky Mountain Power said federal tax credits have played an important role in expanding renewable energy resources and lowering costs for customers over the years. The company said those incentives are fully accounted for in its planning and procurement activities.

However, the utility said the 2025 federal legislation phases out or eliminates many of the tax benefits previously available for new wind and solar generation projects. The company also said it has evaluated potential renewable energy projects that could still qualify for remaining tax credits and has not identified any that would provide additional savings beyond those already included in its plan.

"PacifiCorp has conducted a thorough exploration of renewable energy projects offered for procurement and has found that costs have risen significantly even for projects expecting to receive federal tax credits that remain available," the company said. Rocky Mountain Power said it remains open to considering additional proposals and has encouraged project developers to submit competitive project information for review.

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