DULUTH, MN - Minnesota Power customers will see an increase on their bill starting in the new year.
The Minnesota Public Utilities Commission on Thursday approved an interim rate of 5.8% beginning on January 1.
The average residential customer will pay an additional $4.50 a month.
Minnesota Power filed a rate review in November with state regulators seeking to increase its annual operating revenue by $65.9 million.
In the filing the company said the increase was necessary to continue its commitment to deliver safe, reliable energy from increasingly cleaner sources of energy.
The rate request addresses changes in customer demand, increasing operating expenses and costs associated with regulatory obligations.
Interim rates will remain in effect until final rates are decided by the MPUC.
If the MPUC decides on a final rate that is below the interim rate, Minnesota Power says customers will receive refunds based on the difference between the final and interim rates, plus interest.