Black Hills Energy, which serves 54 cities in southern Colorado, is seeking an 18.8 percent increase in electricity rates that would raise the average residential monthly bill almost $19.
Black Hills is seeking to recover in rates the $40.2 million cost for two new natural gas-fired turbines in Pueblo and related infrastructure, according to the Colorado Public Utilities Commission.
Additional generation is being built or acquired by Black Hills to replace a purchased power agreement with Xcel Energy that expires at the end of 2011.
The company wants the new rates be implemented on Jan. 1, 2012, the planned start date for commercial operations of the new Pueblo Airport Generation Station.
Black Hills Energy, a subsidiary of Rapid City, S.D.-based Black Hills Corp., provides electric and gas services to more than 600,000 customers in Colorado, Iowa, Kansas, and Nebraska.
If the rate request is approved the bills for residential customers, using an average of 600 kilowatt-hours of electricity a month, would rise by about $18.96 per month.
Small commercial customers, using 2,300 kilowatt-hours would see an increase of $67.20 per month.
The PUC will take public comment on the proposal on Tuesday, Aug. 30, in Pueblo.
The public hearing will start at 4 p.m. in the Pueblo County Conference Room, 1001 North Santa Fe Ave.
