On June 3, 2009, the Iowa Utilities Board issued an order allowing Black Hills to generate an additional $10.39 million (5.87 percent) annually for natural gas service distribution in Iowa. Under a settlement agreement approved by the Board, Black Hills’ monthly customer charges will continue to be $15.60 for residential and $23.60 for non-residential customers, as they have been under temporary rates since June 13, 2008. Residential customer charges were $10.56 and non-residential charges were $15.68 before Black Hills filed its rate increase request in this case. The temporary rate increase was about 5.3 percent ($9.38 million) and did not require pre-approval from the Board.
Background information: On June 2, 2008, Aquila filed a petition asking to increase its natural gas service rates by about 7.6 percent to generate an additional $13.56 million annually. A temporary rate increase of about 5.3 percent ($9.38 million), not requiring pre-approval from the Board, went into effect on June 13, 2008. In addition to the general rate increase request, Aquila has requested a three-year pilot program for a Capital Additions Tracker which would recover capital costs of infrastructure improvements. On August 12, the Board issued an order which modified the procedural schedule for this docket.
In August, the Iowa Utilities Board (IUB) held several hearings to receive customer comments on the utility’s proposal to increase its natural gas service rates in Iowa. Comment hearings were held as follows:
Thursday, August 7, 2008 – Iowa Communications Network (ICN) hearing
- DMACC Newton Campus, 600 North 2nd Avenue West, Room 118, Newton
- Decorah High School, 100 East Claiborne Drive, ICN Room, Decorah
- Forest City High School, 206 West School Street, ICN Room, Forest City
- Spencer High School, 800 East 3rd Street, ICN Room, Spencer
- Webster City High School, 1001 Lynx Avenue, ICN Room, Webster City
Tuesday, August 12, 2008 - NICC Town Clock Center for Professional Development, 680 Main Street, Dubuque
Wednesday, August 13, 2008 - Council Bluffs Public Library,
400 Willow Avenue, Council Bluffs.