Western Power Rates Frozen for Five More Years
Published Date: 7/23/2026
Notice
Summary
The Desert Southwest Region and Western Area Lower Colorado Balancing Authority are keeping their current power and transmission rates the same, but extending them from October 1, 2026, through September 30, 2031. This means customers won’t see any price changes for these services for the next five years. The extension helps keep the lights on smoothly without surprise costs for everyone involved.
Analyzed Economic Effects
4 provisions identified: 1 benefits, 3 costs, 0 mixed.
Unreserved Use Penalty: Double Rate
If a transmission customer uses unreserved transmission or exceeds reserved capacity, the penalty charge is two times the maximum allowable firm point-to-point transmission rate. Penalties are assessed by hour and escalate in duration if multiple instances occur.
No Rate Change; 5-Year Extension
WAPA is extending the Desert Southwest Region and Western Area Lower Colorado formula rates without any changes from October 1, 2026, through September 30, 2031. If you are a transmission or balancing-authority customer, the document says you will not see price changes for these specified services during that period.
Imbalance Settlements: Specific Bands & Rates
Energy and generator imbalance settlements use deviation bands with explicit thresholds: within 1.5% (minimum 4 MW) settles at 100%; >1.5% up to 7.5% (or >4 MW up to 10 MW) uses 110%/90% on-peak and 110%/75% off-peak; >7.5% (or 10 MW) uses 125%/75% on-peak and 125%/60% off-peak. Deviations are applied hourly and netted monthly.
CAISO EIM Charges Passed Through to Customers
When the Western Area Lower Colorado Balancing Authority participates in the California ISO Energy Imbalance Market (EIM), administrative and imbalance-related CAISO charges and fees assessed to WALC will be passed through to transmission customers so the WALC BA remains revenue neutral. Pass-through costs are identified by CAISO charge codes and billed per DSW's EIM business practice.
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Key Dates
Department and Agencies
Related Federal Register Documents
2026-12068, Boulder Canyon Project
The Western Area Power Administration is keeping the Boulder Canyon Project electric rates steady at $76.2 million for fiscal year 2027, starting October 1, 2026. This means no price hikes for customers in the Desert Southwest region. Public meetings and a comment period from June 16 to September 14, 2026, invite everyone to learn more and share their thoughts.
2026-06002, 2028 Resource Pool-Parker-Davis Project, Final Power Allocations
The Western Area Power Administration just finalized how it’ll share new hydropower from the Parker-Davis Project starting October 1, 2028. This affects current and new power customers by adjusting their power amounts and creating a special resource pool for new users. The changes kick in April 27, 2026, with service beginning in 2028, helping more folks get clean, reliable energy.
2025-20296, Boulder Canyon Project
Starting October 1, 2025, the Boulder Canyon Project’s electric service rates will go up by 2.5%, raising the base charge from $74.3 million to $76.2 million for fiscal year 2026. This change mainly affects the power customers who get electricity from Hoover Dam and is due to less leftover money from last year. These new rates will stay in effect through September 30, 2026.
2025-16885, 2028 Resource Pool-Parker-Davis Project, Proposed Power Allocations
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2025-15235, Proposed Collections From Central Valley Project Power Contractors To Carry Out the Restoration, Improvement and Acquisition of Environmental Habitat Provisions of the Central Valley Project Improvement Act of 1992
The Western Area Power Administration’s Sierra Nevada region is keeping the same rules for collecting payments from Central Valley Project power contractors to help restore and improve the environment. These rules replace older ones but don’t change how much or when contractors pay. This update just cleans up paperwork and removes some outdated references.
2025-12994, Colorado River Storage Project-Rate Order No. WAPA-220
The Colorado River Storage Project (CRSP) has new formula rates ready if it joins the Southwest Power Pool (SPP). These updated rates will replace the old ones for transmission and related services, affecting customers who use CRSP’s power lines. The changes kick in only if CRSP becomes an SPP member, with current rates staying put until the end of 2028.
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