Today Minnesota Power asked for an $81 million net increase in electric retail rates. New rates approved by the Minnesota Public Utilities Commission are expected to go into effect in 2011. The company has requested that interim rates be implemented in early 2010.

Minnesota Power, an ALLETE (NYSE:ALE) company announced earlier this fall its intent to file for additional revenues to recover the costs of significant investments to ensure current and future system reliability, enhance environmental performance and bring new renewable energy to Northeastern Minnesota.

If the request is approved, Minnesota Power estimates that an average residential customer, using 755 kilowatt-hours, would see an increase of $13 on their monthly bill. The new rate request also includes shifting $14 million in line items currently reflected on customers’ bills into base rates. That shift would result in no net increase or decrease on customers bills.

The new rates help to pay for a series of upgrades at the company’s Boswell Energy Center’s four generating units in Cohasset that directly benefit Minnesota’s environment. A three year project at the facility’s second largest unit is scheduled to be completed this month and is expected to reduce emissions by 80 to 90 percent.

The acquisition of a large DC transmission line between North Dakota and Minnesota is also part of the request. That acquisition is currently pending state and federal regulatory approval.

The 465 mile existing line will ultimately be used to deliver wind energy to customers in

Minnesota, including from the company’s Bison 1 energy center. Site development for the 75 megawatt project is currently underway near New Salem, North Dakota.

Overall, due to lower fuel costs, customers’ bills have remained relatively flat and their electric rates have remained competitive in the region even with last year’s interim rate increase. Final rates for the company’s May 2008 request will go into effect with this month’s bills.

Through its Power of One program, Minnesota Power offers customers a number of rebates, tools and programs to help conserve energy and save on their monthly bill. Go to www.mnpower.com for more details.

For more information regarding Minnesota Power’s rate request go to www.straightenergyanswers.com. The public will have the chance to provide input regarding the rate request at upcoming public hearings. Those dates will be set by the administrative law judge that will be assigned to Minnesota Power’s rate case proceeding.

• GeaCom wins Minnesota Cup high tech division -9/2/2010
• White hospital receives trauma designation -9/2/2010
• Kari, Powell to join Superior Business Hall of Fame -9/2/2010
• St. Luke's nurses reach tentative settlement -9/1/2010
• Why is Murphy Oil really pulling out of the refining business? -9/1/2010