LACEY, Wash. – The Washington Utilities and Transportation Commission has ordered Avista to refund $5.86 million to its customers. This decision, made on December 19, 2025, follows the rejection of tariff sheets Avista filed in October 2024 and revised in December 2025.
The refunds, set to begin in April or May 2026, address overcharges related to the coal-fired Colstrip power plant. Avista’s request to recover capital investments made in the coal plant during 2024 and 2025 was partially denied. The commission allowed full recovery only for investments necessary for health and safety but required Avista to prorate other amounts.
As part of Washington’s Clean Energy Transformation Act, all utilities must remove coal-fired electricity from their rates by December 31, 2025. Avista will transfer its 15 percent ownership of Colstrip to NorthWestern Energy Corporation on January 1, 2026. Future property transfers related to compliance with this act must be submitted for commission review.
A public comment hearing on September 24, 2025, highlighted customer concerns about rate increases and subsidizing coal electricity for other states. The commission’s decision considered these concerns, aiming to support a clean energy transition and reduce burdens on vulnerable communities.
Avista Utilities, based in Spokane, serves electricity to approximately 403,000 customers and natural gas to about 369,000 customers across parts of Washington, Idaho, Oregon, and Montana.
