Iowa Utilities Commission Approves Natural Gas Rates for Black Hills Energy Customers

GRIMES, Iowa — Black Hills Energy announced today, December 30, 2024, that the Iowa Utilities Commission (IUC) has approved its request to update natural gas rates for customers. The new rates will take effect on Jan. 1, 2025, and will replace a temporary natural gas rate increase which has been in place since May 2024, as allowed by Iowa law when Black Hills Energy submitted its rate review proposal to the IUC. Relative to these temporary rates, under the new rates, the average residential customer bill will increase by $2.38 per month based on an average monthly use of 63 therms. The increase for customers will vary, based on rate class, load factors and total usage. The rate adjustment does not affect the cost of the natural gas delivered by Black Hills Energy. The cost of the natural gas commodity is a direct pass-through to customers, meaning there is no mark-up or profit. Black Hills Energy provides natural gas service for over 163,000 Iowa customers across 133 communities. Since rates were last set in 2021, Black Hills Energy has invested approximately $100 million to modernize its system by updating and replacing aging pipe, safeguarding meters, and connecting to renewable natural gas projects to advance the sustainable use of the natural gas system. These projects have improved safety and reliability throughout Iowa in compliance with state and federal regulations and the obligation to serve. For more information about this rate review, visit blackhillsenergy.com/IA-rates. Join the community of savvy subscribers (for free)! Get the latest updates, tips, and insider information by subscribing to the free newsletter today.