Public Service Commission approves natural gas rate increase, but customers to see lower bill

BISMARCK, N.D. (KUMV) - North Dakota’s Public Service Commission approved an increase in MDU’s natural gas rate, but customers will see a slight decrease next month.

Last year, MDU requested an increase of $11.6 million, or 7.5%. Starting in January, the interim rate will increase by $10 million, or 6.5%. Public Service Commissioner Julie Fedorchak said AARP intervened and the parties agreed to a $9.4 million increase, or six percent.

“The good news for customers is this is less than what they’re paying in interim rates, so they will actually see a reduction in their rates over what they are currently paying as a result of this. Those new rates will go into effect on December 1,” said Julie Fedorchak, public service commissioner.

Fedorchak said MDU wanted the rate increase to cover additional infrastructure, labor and inflationary costs. It is the first time MDU has asked for a rate increase since 2021.