FOR IMMEDIATE RELEASE
Dec. 9, 2025
PSC APPROVES AGREEMENT IN
BLACK HILLS RATE CASE
LINCOLN – The Nebraska Public Service Commission (PSC)
issued an order today, Dec. 9, approving a $23.9 million
agreement in Black Hills Energy’s request to raise natural gas
rates.
The decision allows Black Hills to increase its fixed-customer
and distribution charges – the rates regulated by the PSC.
The average impact to bills will be an additional $2.85 per
month for residential customers, $5.34 per month for small
commercial customers and $72.01 per month for large
commercial customers, according to data presented to the
PSC. The new rates will take effect Jan. 1.
Black Hills initially sought a $34.9 million rate increase in an
application filed May 1 with the PSC. Following an
independent assessment of the application by PSC staff,
three town hall meetings and negotiations with a Public
Advocate appointed to represent consumers, Black Hills
ultimately agreed to a smaller increase of $23.9 million – a
reduction of about $11 million from its original request.
Black Hills and the Public Advocate presented details of the
settlement to the PSC at an Oct. 15 public hearing, leading to
today’s order approving the agreement.
“We commend all parties in this case for engaging in a
collaborative and thorough review process,” said PSC
Chairman Tim Schram, District 3. “Reaching this agreement
spared ratepayers the added expense and uncertainty of a
long, fully litigated case, while still ensuring the outcome is
fair, reasonable and in the public interest.”
In August, Black Hills began charging customers increased
interim rates that are higher than the final rates approved
today. The company must refund the difference between the
interim rates and final rates, with interest, to customers.
Black Hills will file a refund plan by March 1 for review and
approval by the PSC.
Additional information is available on the NG-124 Black Hills
Energy Rate Case page or under the Natural Gas
Department tab of the PSC website.
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Media Contact:
Jason McFarley – Public Information & Education Officer
(402) 430-5640
jason.mcfarley@nebraska.gov
