RAPID CITY, S.D. – Black Hills Energy customers in western South Dakota could see their electric bills rise by about 45 dollars a month if state regulators approve two pending requests from the utility.
The company is seeking a nearly 20-dollar monthly surcharge to help pay for the new Lange II natural gas power plant under construction near Rapid City. Black Hills Energy says the facility is needed to replace the aging Ben French power plant and meet future energy demands.
The surcharge would be in addition to a proposed general rate increase of about 25 dollars per month for the average residential customer. Combined, the increases would raise the average monthly electric bill from about 99 dollars to nearly 144 dollars.
Black Hills Energy says the rate hike is necessary to cover infrastructure investments, inflation, and increased operating costs, noting it has not had a General Electric rate increase since 2014.
Some customers and large business groups have voiced concerns about the financial impact, while state regulators continue reviewing both proposals.
