Oregon lawmakers took another step on Thursday toward doing something to increase electric vehicle adoption that has fallen short of goals. But how their efforts will shake out in the end remained fuzzy.
The latest action in the Legislature was in the House, which
passed a bill that strengthens the state’s EV rebate program and the ability of
investor-owned electric utilities to spend ratepayer money on charging
infrastructure.
House Bill 2165 now moves to the Senate, which in March
passed a bill with similar utility investment provisions.
Oregon fell 16,000 EVs short of a Gov. Kate Brown's goal to
have 50,000 registered in the state by the end of 2020. Both bills are intended
to take on the issue.
But there are key differences.
Senate Bill 314 doesn’t have the rebate provisions, and it
would allow natural gas utilities to rate-base investments that support
vehicles that run on renewable natural gas or hydrogen. Many climate activists
object to that.
Sen. Lee Beyer, sponsor of the Senate bill, told a House
committee looking at the bill this week that he hopes to see both bills adopted
and their differing provisions reconciled.
The Senate passed its bill by a bipartisan 25-2 count in
March.
No Republicans backed HB 2165 on Thursday as it passed 35-22
in the House. Two points of criticism were that the legislation would increase
electricity bills and could give the utilities an unfair advantage in the
charging station market.
The utilities are already doing some rate-based investments,
but the bill would make it more automatic, requiring Portland General Electric
and PacifiCorp to assess a charge of 0.25% on customer bills to raise funds for
transportation electrification investments.
Oregon CUB, the state's official ratepayer advocate,
endorsed the bill. Even at higher levels, CUB said, the investments would pay
off for ratepayers by increasing electricity sales that support a distribution
system that everyone pays for.
On the rebate side, HB 2165 removes a 2027 sunset on the
state’s rebate program, and keeps $12 million flowing annually into the program
from a 0.5% tax on new-vehicle sales in the state. It also increases the value
of the add-on Charge Ahead rebate, available to low- and middle-income earners,
from $2,500 to $5,000, meaning those residents could get rebates worth up to
$7,500.