Minnesota utility customers are getting a small win—if you can even call it that. The Minnesota Public Utilities Commission (PUC) has finalized a 7.5% rate increase for Xcel Energy gas customers, slightly lower than the 8.5% interim rate set in early 2024. The result? A minor refund headed to nearly 500,000 Xcel customers sometime this summer.
Don’t expect much. The total refund will range between $1 million and $1.5 million, which, when divided up, means each customer gets pennies on the dollar—a brief relief before they’re hit with the new rates.
For the average residential customer, the hike translates to $4.20 more per month starting in July. Meanwhile, Xcel isn’t done raising rates—its electricity rate increase request is still on the table, with an interim 5.2% hike already in effect until a final decision lands in 2026.
So, enjoy your refund—just don’t spend it all in one place.
