PSC staff outline MDU electric rate request and proposed settlement at listening session; no public commenters

At a July 28, 2026 listening session of the Montana Public Service Commission in Helena, staff summarized Montana Dakota Utility Company's application to raise electric rates and a later settlement proposal that would substantially lower the company's original request. "The purpose of this listening session is to receive public comment regarding Montana Dakota Utility Company's request to increase rates for its electric service," said Laura Bajowski, the commission staff attorney who presided.

The commission's legal intern, identified in the record as Jera Wilsey, reviewed the docket's procedural history and key numbers. Wilsey said MDU filed its application on Sept. 30, 2025, arguing existing rates were too low and seeking an increase that, if granted in full, would raise $14,134,832 in annual revenue using a 10.8% return on equity. The commission issued interim Order No. 8039G on March 19, 2026, granting interim relief of $10,427,650 for electric service rendered on or after April 1, 2026; Wilsey said that interim amount is subject to refund with interest if the final approved rate is lower.

Wilsey told the session that intervenors Montana Consumer Council and Denbury Onshore LLC initially proposed much smaller revenue increases (the council: $2,330,691 based on an 8.6% ROE; Denbury: $4,240,988 based on an 8.6% ROE). She said the parties jointly filed a stipulation on June 5, 2026 recommending that the commission approve a $9,998,559 revenue increase based on a 9.65% return on equity. According to the summary presented to the commission, if the settlement were approved it would raise average residential customer bills by about 14.8%, or roughly $12.80 per month compared with rates in effect before April 1, 2026.

Bajowski emphasized the session was a listening session (no Q&A) and that commissioners would not answer questions during the event. She noted that the session was being recorded and livestreamed and that members of the public could still submit comments in writing or by phone. "The commission will continue to accept public comment on MDU's application and the proposed settlement agreement in writing and by phone," Bajowski said. She provided the commission's public comment phone number, (800) 646-6150, and the email address pschelp@mt.gov, and noted comments may be filed through the commission's online portal under Docket No. 2025.09.072.

The commission had not taken a final vote on the stipulation as of the listening session. The staff summary made clear that if the commission rejects the settlement in whole or part, parties retain the right to present evidence and argument supporting their original positions. The session adjourned at 6:06 p.m. with no in-room or online commenters.