Montana-Dakota Utilities rate cases
Montana-Dakota Utilities is a regulated utility under the jurisdiction of regulatory commissions in the states it serves. The rates customers pay are approved by each state’s regulatory commission. When the costs of providing safe and reliable electric and natural gas service exceed what customers are paying in rates, Montana-Dakota files a rate increase request with the applicable state regulatory commission.
Requested increases are the result of additional costs necessary to maintain a safe and reliable system; upgrade aging infrastructure and technology; meet growing demand; and compliance with state and federal regulatory requirements, such as environmental mandates.
The company does not have authority to change rates without approval by a state regulatory commission. Click on your state below to review information about recently approved or pending rate case filings.
Montana
Montana PSC approves interim price increase
The Montana Public Service Commission on Jan. 14, 2025, approved by a 4-1 vote Montana-Dakota Utilities’ request to increase natural gas prices on an interim basis while the PSC reviews the company’s full price increase request.
The interim increase is for $7.7 million in annual revenues, which is a 10.25% increase. The impact for an average residential customer is $5.01 per month. The increase is effective Feb. 1, 2025.
Click to read the PSC’s interim order.
Montana-Dakota Utilities files natural gas price increase request
Montana-Dakota Utilities on July 15, 2024, filed with the Montana Public Service Commission a natural gas price increase request of approximately $9.4 million in annual revenues. If approved, it would increase residential customers’ monthly bill by an average of about $8.68 per month.
Investments in system upgrades and pipeline replacement projects enhancing the reliability, safety and integrity of the natural gas system, as well as increased costs to operate and maintain that system, are the main reasons for the increase request.
Included in this request is an infrastructure investment of approximately $43 million since the last price increase in 2021 (that case was filed in 2020).
The proposed increase for each customer group, taking into consideration studies to determine the full cost to serve each customer group, is:
- Residential 16.4%
- Firm general 3.8%
- Small interruptible 0.3%
- Large interruptible 2.5%
The residential increase is higher than the other customer groups to bring residential customers closer to paying the cost to provide them service. Currently the other customer groups are closer to or are paying their cost of service.
The Montana PSC has up to nine months to process the case.
Montana-Dakota encourages customers to use energy wisely. Conservation tips, information on energy assistance and information on the company’s balanced billing program can be found on this website.
North Dakota
North Dakota has no rate cases at this time.
South Dakota
South Dakota has no rate cases at this time.
WYOMING
Montana-Dakota Utilities files natural gas price increase request
Montana-Dakota Utilities on Oct. 31, 2024, filed with the Wyoming Public Service Commission a natural gas price increase request of approximately $2.6 million in annual revenues. If approved, it would increase residential customers’ monthly bill by an average of about $9.80 per month.
Investments in system upgrades and pipeline replacement projects enhancing the reliability, safety and integrity of the natural gas system, as well as increased costs to operate and maintain that system, are the main reasons for the increase request.
The company has invested nearly $15 million in its system since the last price increase, which was effective in March 2020. These investments include, but are not limited to, significant improvements in its pipeline safety in Worland and Sheridan, and a Sheridan town border station (where natural gas transfers from a natural gas transmission pipeline into a city’s distribution pipeline system) to maintain safe and reliable service.
Montana-Dakota encourages customers to use energy wisely. Conservation tips, information on energy assistance and information on the company’s balanced billing program can be found on this website.