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MMU ‘Goes Retro’ on Electric Rates for 2017

November 23, 2016 By Cheryl Kaften

New utility rates will take effect in Marshall, Minnesota next year. On November 13, the five-member Marshall Municipal Utilities Commission voted to decrease electric rates by nearly 11 percent, effective 2017 – although individual utility bills will vary, based on the results of a recent rate study.

Marshall Municipal Utilities – the second-largest utility in terms of retail sales in the North Star State, with over 6,500 customers – does a rate study once every three years, which is used to help set the rates charged electric customers, as well as water customers in the service area.

Rate analyst Keith Wilkins said MMU’s decision to cut its rates could be attributed to a switch to a less costly power provider this past summer, according to a report on November 17 in the Marshall Independent newspaper.

Now, electric rates are set to decrease by 10.9 percent, although individual bills would be affected by the type of customer, and how much electricity that customer used. The rate study also established seasonal electricity rates, with higher rates in high-demand times of year, like summer and winter.

The study summary said a residential customer using an average of 1,000 kilowatt-hours (kWh) of electricity a month would save $14.21 per month under the new rate schedule. Residential customers who use electric heat could save even more.

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