ALEXANDRIA, MN – Dec. 17, 2024 – The Alexandria Board of Public Utilities at its November 18 meeting approved a 5% electric increase and a 15% water increase for 2025. The increase is necessary to cover the rising cost of purchased power, distribution equipment and capital infrastructure projects.
“These rate increases reflect our commitment to providing high quality, reliable services while planning for our growing community’s future needs,” said Ted Cash, ALP Utilities general manager.
Residential Electric Customers
An average ALP residential customer using 750 kWh will see an increase of $4.55/month on their bill.
- Energy charge October to June = $0.0872/kWh
- Energy charge from July to September = $0.1082/kWh
Large Commercial Electric Customers
- $5 increase in monthly facilities charge from $60 to $65
- Energy charge remains the same at $0.040/kWh
- Demand rates from July to September will increase from $20.65 to $22.20
- Demand rates from October through June will increase from $15.05 to $16.35
“We understand the impact this has on our customers, and we strive to operate efficiently and control costs to keep our electric rates among the lowest in the country,” Cash said.
Water Rate Change
The water rate change affects monthly facilities and usage charges for both residential and commercial customers. The increase is necessary to recover capital cost increases and maintain existing infrastructure.
A typical residential water customer with a 3/4″ meter using 4,000 gallons of water will see an average increase of $4.90/month.
Significant infrastructure expenditures include $1.6 million in PFAS/PFOS mitigation, water main replacements done in conjunction with street improvement projects and construction of a new $7 million water tower due to growing demand.
Focused on Reliable and Quality Service
As a community-owned and operated not-for-profit utility, ALP regularly reviews its rates with its local governing board to reflect the costs of providing reliable and quality service to its customers. ALP will continue to embrace new technologies and put best practices in place to improve the communities it serves through excellence.
Visit alputilities.com to see a complete listing of 2025 utility rates.