CHEYENNE - Future rate hikes for Pacific Power customers in Wyoming would be softened under an agreement reached Friday by state officials with PacifiCorp and the Iowa-based company attempting to acquire the utility.

"This agreement will keep the rates from going as high as they would absent the transaction," said Bryce Freeman, administrator of the Wyoming Office of Consumer Advocate, one of the parties to the agreement.

Wyoming law requires that utility customers be no worse off from mergers or buyouts. Under the new agreement, "not only will they be no worse off, but there are some benefits," Freeman said.

Besides cushioning consumers from higher rate hikes, the pact also could boost export of Wyoming's energy. For example, if the agreement is approved by the Wyoming Public Service Commission, PacifiCorp would commit to making Wyoming wind energy an important part of its portfolio.

Also, the utility would study construction of a new transmission line from the Jim Bridger Power Plant to Southern California and other infrastructure improvements.

On Monday, the Public Service Commission will open a hearing on the proposed purchase of PacifiCorp by MidAmerican Energy Holdings Co.