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Updated at: 11/02/2009 7:00 PM Minnesota Power Requests $81 Million Increase"We do feel this increase is necessary and it's warranted," said Amy Rutledge of Minnesota Power. "And it's really speaking to investments that will benefit customers."It would be the second rate hike in as many years for Minnesota Power. The company is asking for an $81 million net increase. That translates into an extra $13 for residential customers and another 19% for businesses. Company spokesperson Amy Rutledge says the $81 million net increase will help pay for improvements to Boswell Energy Center in Cohasset, and a large transmission line to deliver wind energy from North Dakota. "It's really tied to environmental upgrades to reduce pollutants, the ability for us to bring more renewable energy online, and also to maintain our system to make sure it's reliable now and in the future," Rutledge said. This is the second increase Minnesota Power has requested in as many years. The Minnesota Public Utilities Commission already approved one back in April, and residential customers are paying an additional $6, or about 10$, more on their bills. And the idea of another rate hike has some Duluth residents upset. "I don't think that's fair," said one Duluth resident. "You don't have to go that high. Three to four dollars more a month is fine, but this thirteen dollars is out of the question. I don't like that." "No one really makes enough to have thirteen bucks to spare," said Micah Smith. "For pretty much everyone, that's an hour or two extra of work, just to cover them for money they already have." Before the Public Utilities Commission makes a decision, customers will have opportunities to give input at some upcoming public hearings, which have not yet been scheduled. If the rate change is approved, Minnesota Power has asked for an interim increase to go into effect early next year, and the final rate increase would be implemented in early 2011. |
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