FAYETTEVILLE, Ark. — The Arkansas Public Service Commission approved a general rate adjustment for Black Hills Energy to reflect critical infrastructure investments that meet the growing demand for energy while also supporting continued resilience of the Arkansas natural gas system.
The rate adjustment is the result of a unanimous settlement agreement with the Arkansas Public Service Commission General Staff and the Office of Arkansas Attorney General Tim Griffin. New rates are effective starting with the October billing cycle.
As approved, residential customers can expect to see a monthly bill increase of approximately $10 based on an average monthly usage of 53 Ccf (hundred cubic feet). The increase for commercial customers will vary, based on rate class, load factors and usage.
In this proceeding, the Public Service Commission also approved a plan to refund Arkansas customers over $2.7 million resulting from state income tax reductions. A typical residential customer will see a one-time credit on their bills of approximately $10.15 in January 2025.
Black Hills Energy provides safe, reliable natural gas service for over 186,000 Arkansas customers across more than 100 communities. The company has 8,000 miles of transmission and distribution pipelines in Arkansas. Since its last rate filing in 2021, Black Hills Energy has invested approximately $130 million in critical infrastructure in the state. These investments meet federal safety and reliability regulations and support a substantial increase in customers particularly with rapid development in the Northwest Arkansas region and industrial growth in Northeast Arkansas.
Reliability projects have included pipeline replacement with lower emitting materials, exchanging meters with advanced technology and increasing natural gas capacity in growing communities. Additionally, safe digging education and enforcement support remain priorities to meet safety goals.
For more information about this rate review, visit blackhillsenergy.com/reliableAR. The rate review does not affect the cost of natural gas, which is adjusted twice a year in Arkansas and passed through to customers without any markup from Black Hills Energy.