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Otter Tail Power Company Requests Rate Review in South Dakota
FERGUS FALLS, Minn.--(BUSINESS WIRE)-- Otter Tail Power Company, a wholly owned subsidiary of Otter Tail Corporation (Nasdaq: OTTR), filed a request with the
About this update from Otter Tail Corporation
[{"type":"text","content":" FERGUS FALLS, Minn.--(BUSINESS WIRE)--\nOtter Tail Power Company, a wholly owned subsidiary of Otter Tail Corporation (Nasdaq: OTTR), filed a request with the South Dakota Public Utilities Commission (PUC) for permission to increase its electric rates. This request is a result of rising costs to maintain a safe and reliable system while meeting customers’ growing electricity demand as economically as possible.\n\n\n“We understand rising electric costs can be challenging, and we remain focused on managing these increases through smart investments and streamlined operations that allow us to be one of the lowest-cost providers in the nation,” said Otter Tail Power President Tim Rogelstad. “Our goal is to continue serving our customers with the safe, reliable, and cost-effective energy they depend on while navigating these challenges together.”\n\n\nThe net effect of Otter Tail Power’s request is an increase to rates of approximately $5.7 million. If the PUC approves the overall request as filed, the average net increase to customers would be approximately 12.5%. Otter Tail Power last requested a rate review in South Dakota in 2018.\n\n\nProposed rates may take effect December 1\n\n\nThe filing starts a process often referred to as a rate case. During this time, the PUC reviews costs the company incurs to provide customers with energy and related services and then determines appropriate prices for customers using that energy. This independent, public process helps ensure transparent rate setting for all customers.\n\n\nThe PUC will establish a schedule for making its decision on the company’s request. If the PUC doesn’t issue its decision within 180 days, Otter Tail Power can increase rates on an interim basis beginning December 1, 2025. If final rates are lower than interim rates, Otter Tail Power would refund customers the difference with interest. If final rates are higher than interim rates, the company would not collect the difference.\n\n\nRate information, including example monthly bill impacts, and updates related to the company’s request will be available online at otpco.com/SDRateCase.\n\n\nForward-Looking Statements\n\n\nExcept for historical information contained here, the statements in this release are forward-looking and made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 199...