Minnesota Power Seeks 17.8% Rate Increase

Minnesota Power is asking state regulators to approve a 17.8% rate increase—about $134 million in additional revenue—which would raise the average residential bill by roughly $24 a month if approved in full. The utility says the request reflects costs for maintaining and upgrading its grid, operations, renewable-energy investments and inflation, as well as lost sales after two major industrial customers idled or reduced production. The company says the request is not tied to Google’s proposed Hermantown data center, which has not been built and is still subject to regulatory review. A ratepayer advocate called the proposed increase large, while noting that regulators and other intervenors scrutinize rate cases and final increases are often lower than requested. The review could take a year or more; an interim increase may take effect during that process, and the company says expected credits from land sales could offset much of the impact for customers.