Performance-Based Regulation (PBR)

What is PBR?

Performance-Based Regulation (PBR) is a way to measure how well utilities serve customers and meet public goals.

Instead of only looking at how much utilities spend, PBR tracks results. These results can include reliability, affordability, equity, and environmental progress. Utilities may receive financial rewards or penalties based on their performance.

PBR is designed to better align utility profits with what matters to customers and communities.

Why This Work Matters?

PBR helps the commission:

  • Improve service reliability and response times
  • Support affordable energy for customers
  • Promote fair and equitable utility services
  • Advance clean energy goals

This work also helps ensure utilities are not only investing in infrastructure but delivering real value to customers.

Current Phase of Work

Commission policy staff are reviewing the current regulatory system and incentives.

This work looks at how existing tools:

  • Interact with multiyear rate plans
  • Impact cost control and affordability
  • Balance customer benefits and utility financial health

This review will result in a policy paper with recommendations for possible changes to the regulatory structure.

The policy paper is expected in June 2026. After that, the commission will gather feedback from utilities, interested parties, and the public before making decisions.

PBR Framework at a Glance

The commission's PBR framework is organized around four policy goals:

  1. Reliable and resilient service
  2. Customer affordability
  3. Equitable utility operations
  4. Environmental improvements

Learn more about PBR framework

Measuring Utility Performance

Metrics help the commission and the public understand how well utilities are meeting performance goals.

Utilities report this information each year. Metrics track areas such as reliability, affordability, customer assistance, workforce diversity, and environmental performance.

Learn about PBR metrics

Performance Incentive Mechanisms (PIMs)

Performance Incentive Mechanisms (PIMs) are tools that reward or penalize utilities based on performance.

PIMs are designed to encourage better outcomes for customers, support policy goals, and ensure accountability.

Learn more about PIMs

Get Involved

How to Participate

There are several ways to stay involved in this work:

  • Submit written comments during open comment periods
  • Attend workshops and listen to discussions
  • Review policy papers and supporting materials

Check this page regularly for updates and opportunities to participate.

View timeline and participation opportunities

Key Documents

Review policy statements, workshop recordings, reports, and other materials related to the commission's PBR work.

View key documents

Contact Information

Contact

Amy Andrews
Accounting and Energy Policy Advisor
amy.andrews@utc.wa.gov
360-664-1128

Cristina Narváez
Energy Policy Advisor
cristina.narvaez@utc.wa.gov
360-664-1229