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Rate Setting


Rate Cases

A rate case is a proceeding where there is a “snap-shot in time” of all aspects involved in a utility providing service to its retail customers to include:

  • financial elements (including balance sheet, income statement, and specific adjustments for any such item)
  • cost of capital, sales forecasts, rate design (which involves allocating costs to various customer classes setting rates for each class, and reviewing any changes in services)
  • conservation cost recovery and other factors

The Minnesota Department of Commerce, Division of Energy Resources analyzes each aspect of the utility’s proposals in rate cases to ensure that the utility’s ratepayers pay reasonable rates (as required by law) and that the utility has a reasonable opportunity to recover its costs. View the most recent list below of rate cases.

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In the eDocket system: under “Docket Type” select “General Rate Case” to obtain all documents filed in general rate cases. Since numerous documents are filed in general rate cases, it is helpful to use the search results to find the docket number for the rate case(s) of most interest and refine the next search. For example, if a docket number of interest is 11-1234, then select 11 from the drop-down menu for the year and type in 1234 for the number. For tips on how to find these documents in the system, view the help files.

Cost Adjustments

Automatic adjustments, which are either fuel clause adjustments (FCA) for electric utilities or purchased gas adjustments (PGA) for natural gas utilities, allow utilities to change rates between rate cases as the cost of fuel or natural gas fluctuates.  

Other rate changes

Utilities may request other changes in rates in filing that do not require a full review of all costs and revenues. These miscellaneous petitions may include both rate and service changes.  In the eDocket system: under “Docket Type” select “Misc. Changes” to obtain all documents filed in miscellaneous rate proceedings. Since numerous cases are filed each year, it is helpful to narrow the search by utility and use the search results to find the docket number for the rate case(s) of most interest and refine the next search. For example, if a docket number of interest is 11-1234, then select 11 from the drop-down menu for the year and type in 1234 for the number.

Rate Setting Statutes  


Rate Case
Minn. Statute §§ 216B.03 defines language for a reasonable rate for public utilities. 
Minn. Statute 216B.07 restricts against preference or advantage with rates or service.
Minn. Statute 216B.16 defines the rate change, procedures, and hearing processes. 

Electric Service Agreements/Competitive Rate  
Minn. Statute §§ 216B.162 is the statute that defines the concept of a competitive rate for electric utilities.
Minn. Statute 216B.1621 is the statute that defines and electric service agreement.

Gas Flexible Rate  
Minn. Statute § 216B.163 is the statute that defines a flexible tariff for a gas utility.