Wyoming probes power utility delays

Electricity demand across the United States has risen sharply due to the expansion of artificial intelligence computing. Against this backdrop, Wyoming regulators have opened a formal review into how the state's largest utility handles requests for new power capacity.

The Wyoming Public Service Commission voted unanimously on Oct. 29 to investigate Rocky Mountain Power. The order directs the company to provide relevant information and take other actions deemed necessary by the public interest. The commission is currently finalizing the specific terms of the investigation order.

The probe will examine the utility's responses to large load requests dating back to January 2022. A large load is defined as a request for more than 20 megawatts of power. One megawatt is sufficient to supply approximately 750 homes.

Rocky Mountain Power President Dick Garlish told the commission that the investigation feels punitive because no customer has filed a formal complaint. He stated that the company takes its responsibilities as a regulated monopoly seriously to protect existing customers from speculative investments that may not materialize.

Garlish noted that many large load requests come from entrepreneurs whose projects often fail due to financing or permitting issues rather than power availability. He emphasized that growth must pay for growth to avoid burdening current ratepayers.

The utility has evaluated 83 requests for additional power over the past decade. It has served 24 of those requests, totaling 258 megawatts. The company has also assessed roughly 4,300 megawatts worth of large load requests during that same period.

Commission Deputy Chairman Chris Petrie said the investigation is not a condemnation of the utility. He cited persistent public complaints about the company's handling of power requests as the reason for resorting to the investigation process. The goal is to obtain assurance that safe and reliable service remains available at reasonable rates.

Industry groups have raised concerns about wait times. Jody Levin, a spokeswoman for the trona and soda ash industry, testified to lawmakers in May that expansion plans were delayed because the utility projected a seven-year wait for a significant power boost. She described that timeframe as a de facto no.

Travis Deti, executive director of the Wyoming Mining Association, stated that the association will monitor the process closely. He noted that testimony before legislative committees has highlighted issues with acquiring timely power access in southwest Wyoming.

Attorney Austin Jensen, representing the Wyoming Industrial Energy Consumers group, explained that formal complaints are rare because industrial customers must work with the incumbent utility. He said it is not good for business to call the company's only option before the commission into a formal complaint process.

Rocky Mountain Power is spending $80 million on initiatives to meet rising demand. Wyoming lawmakers have also contemplated regulations allowing third-party power producers to serve customers, an idea the utility has opposed. The commission will continue its review of the utility's performance since early 2022.