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PSC Approves Settlement Agreement In Black Hills Energy Rate Case

PSC Approves Settlement Agreement In Black Hills Energy Rate Case

For Immediate Release

PSC Approves Settlement Agreement in
       Black Hills Energy Rate Case

Lincoln, January 26, 2021 – The Nebraska Public Service
Commission today, Tuesday, January 26, issued an Order
approving the stipulation and settlement agreement in the
NG-109 Black Hills Energy (BHE) Rate Case.

On June 1, 2020, Black Hills Energy filed an application with
the PSC seeking a $17.3 million general rate increase. The
proposal would increase Black Hills’ fixed customer charges and
distribution charges, the rates regulated by the Commission.

During the eight-month long process, an independent assessment
of the application was conducted by the Commission staff, three
virtual town hall meetings were held and a comprehensive review
of the BHE filing by the Public Advocate was performed.

Following the comprehensive review of BHE’s filing, the Public
Advocate and Black Hills representatives engaged in negotiations.
The negotiations resulted in a joint stipulation and agreement of
settlement, in which BHE agreed ultimately to a general rate
increase of $10.7 million, a reduction of roughly $6.6 million from
its original filing.

On October 28, the PSC held a hearing, during which the joint
stipulation and agreement of settlement was laid-out to the
commission, leading to today’s Order by the Commission approving
the agreement. The new approved rates will go into effect on
March 1.

“I want to thank everyone who participated in the rate case process,”
said Commission Chair Dan Watermeier. “Through hard work and
willingness to negotiate, the parties were able to strike a balanced
agreement that is good for both the company and the ratepayers.”

BHE was allowed by state law to charge an interim rate during the
Commission’s review of the application. BHE began charging an
interim rate to its customers in September. The utility will file a
refund plan with the Commission for its review and approval.

Commissioner Watermeier said, “If all goes as planned, we would
expect that BHE customers could begin seeing a refund by June.”

Detailed information on the NG-109 Black Hills General Rate Increase
application, can be found on the Natural Gas Department Main page
of the PSC website by clicking on the NG-109 Black Hills Energy Rate Case .


Deb Collins- Media & Communications Mgr.
(402) 471-0226

Black Hills Energy

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