Why are MVP rates so high?
If you are a customer of Mission Valley Power (MVP) you have no doubt noticed a huge increase in your electric bills the last two years, and another increase is coming in 2026.
You may have also noticed there is a three-tier rate system, where the more you use the higher the per KWH rate is. My family has rented an all-electric house (including heat) for 10 years and the last bill my landlord presented me with for January was twice what it was two years ago.
I just checked Missoula Electric Co-Op (MEC). They have a flat rate of 6.99 cents, whereas MVP has a rate of 8.8 cents under 1,000 KWH used, 9.83 cents for over 1,000 KWH, and 12.19 cents per KWH for over 2,000 KWH used. Why is Missoula's rate so much cheaper?
So if you use more than 2,000 KWH per month you are paying 74% more than MEC customers. Something is wrong here – how can this be?
I checked out seven electric co-ops in Montana and Wyoming. Five had a flat rate and two had a tiered rate system where you paid less for using more, as it should be, not paying more as with MVP.
And another interesting and unbelievable fact – even though we have the SKQ Dam (formerly Kerr Dam) in our backyard, Mission Valley Power receives less than 5% (4.5%) from the SKQ Dam. The other 95.5% comes from Bonneville Power.
Kerr dam was built decades ago to supply low-cost power for irrigators and residents of the reservation. So why does it now supply almost zero? The almighty dollar!!
– John Meinders, St. Ignatius