St. Paul, MN – The Minnesota Public Utilities Commission (PUC) approved an estimated $1.3 million (or 7.0%) increase in annual natural gas revenues for Greater Minnesota Gas, Inc. (GMG).
The new, approved rates will take effect on January 1, 2026. This marks the company's first rate case since 2009.
GMG, which serves several thousand residential and commercial customers in nearly 70 townships across Minnesota, requested the increase to recover higher operating and maintenance costs and continue providing safe, reliable service. The Commission also approved a 10% return on equity as part of the rate decision.
State law permits utilities to implement temporary rate increases while a rate case is under review. Consequently, a 7.7% interim rate increase went into effect on January 1, 2025. Because the Commission's final decision resulted in a slightly lower overall increase than the interim rate, GMG customers will receive a refund. The total refund for all GMG customers is approximately $134,000.
The Commission found the rate request to be reasonable and in the public interest after a full review, noting that the company’s last rate adjustment occurred more than 15 years ago.
The review process included analysis and expert recommendations from the Minnesota Department of Commerce, which reviewed GMG’s financial data, cost projections, and rate design. Additionally, the Office of Administrative Hearings conducted hearings, and an Administrative Law Judge issued a report with findings. The PUC considered all these recommendations and comments from interested parties before making its final decision.
Under the approved rates, customers will see modest changes on their natural gas bills starting in 2026, which will vary based on their usage and rate class. Greater Minnesota Gas will directly notify its customers before the new rates are implemented.
The Minnesota Public Utilities Commission regulates three cornerstone service industries in Minnesota's economy: electricity, natural gas and telephone. The Commission’s mission is to create and maintain a regulatory environment that ensures safe, adequate, and efficient utility services at fair, reasonable rates consistent with State telecommunications and energy policies. It does so by providing independent, consistent, professional, and comprehensive oversight and regulation of utility service providers. Learn more at mn.gov/puc.