On April 16, Cascade Natural Gas joined with 28 other companies, organizations and individuals in filing a lawsuit challenging the Climate Protection Program (CPP) adopted by Oregon’s Department of Environmental Quality (DEQ).
Cascade is committed to environmental stewardship and supports decarbonization goals. Cascade will continue to strive to satisfy all requirements set by the CPP while this litigation is underway. However, we believe the CPP exceeds DEQ’s statutory authority and will make natural gas unaffordable for the families and businesses that rely on it. That is why we are challenging this program on behalf of our customers.
At a time when we are all concerned about rising costs and affordability, the costs of complying with the CPP will only make living and doing business in Oregon more expensive. DEQ did not consider the impacts the CPP would have on Oregon’s economy, but Cascade and our customers have first-hand experience with the consequences of the CPP. This program has burdened our customers and we believe that burden will substantially increase over time.
The revenue generated by the CPP will be directed to nonprofit organizations picked by DEQ, without legislative oversight and accountability. It will also add strain to an electric system that is already near its limits. Cascade believes in environmental responsibility and hopes to find a path forward that is lawful, accountable, reliable, and affordable for all of our Oregon customers.
Climate Protection Program (CPP) Lawsuit
Frequently Asked Questions
On April 16, Cascade Natural Gas joined 28 other companies, organizations, and individuals in filing a lawsuit challenging the Oregon Department of Environmental Quality’s (DEQ) Climate Protection Program (CPP). The program is intended to reduce greenhouse gas emissions.
At a time when controlling inflation and keeping energy affordable is critical, Oregon has created what we believe is the most expensive greenhouse gas regulatory program in the world. Cascade filed this lawsuit to protect our customers from the significant costs created by this program.
The cost of compliance under Oregon’s program is two to three times higher than similar programs elsewhere in the United States.
Below are recent cost‑per‑ton prices for comparable climate programs. Prices are current as of April 10, 2026.
- Oregon: $136.00
- Washington: $70.86
- California: $28.32
- Northeastern states (DE, ME, MD, MA, NH, NJ, NY, PA, RI): $24.99
For comparison, British Columbia previously had a carbon price of $80.00 per ton, but the tax was removed due to economic impacts in the province.
Across all natural gas utilities in Oregon, the Climate Protection Program is estimated to cost customers $4.9 billion over its first eleven years (2025–2035).
Absolutely not.
Cascade Natural Gas is committed to environmental stewardship and fully supports decarbonization goals. However, we believe the path forward must be effective, legally sound and affordable.
We do not believe DEQ’s Climate Protection Program meets those standards. That is why we are challenging this program on behalf of our customers.
We support a carbon‑reduction approach that:
- Achieves meaningful emissions reductions
- Maintains reliability and energy system resiliency
- Keeps energy affordable for customers
We believe DEQ does not have the legal authority to create and implement this program on its own. In our view, a program of this magnitude must be established by the Oregon Legislature.
Our concerns include:
- The lack of direct legislative oversight of the hundreds of millions of dollars in annual revenue the program is expected to generate
- Uncertainty about how those funds would be managed by a designated “non‑profit” entity
- The risk of severe affordability impacts for customers
We are asking the court for expedited consideration so there is an opportunity to pursue a better solution.
Cascade supports working with the legislature and the governor on a legislatively adopted program in 2027 that:
- Is built on clear legal authority
- Aligns with programs in neighboring states
- Directs funding toward actual emissions reductions
- Treats current and future customers fairly
- Avoids excessive and unnecessary energy costs
We believe a thoughtful legislative solution can achieve Oregon’s climate goals without placing an undue burden on families, businesses, and communities.
This was created at no cost to Cascade Natural Gas customers.