BISMARCK — Montana-Dakota Utilities Co. announced it has filed an application with the North Dakota Public Service Commission seeking authority to increase electric rates in North Dakota by $34.5 million or 14.5% overall.

This proposed rate adjustment is not related to data centers. MDU stated it has structured its rates so large energy users, like data centers, do not increase costs for other customers.

Since the company last filed for a rate increase in May 2022, MDU reports, it has experienced rising operations and maintenance expenses and has made investments across its system, including infrastructure upgrades that support reliability and safety, as well as the associated depreciation of those assets.

“Providing safe, reliable electric service requires ongoing investment to maintain and strengthen the system our customers depend on every day,” said Garret Senger, MDU Utilities Group chief utilities officer, in a news release. “This filing reflects the continued focus on responsibly managing rising operating costs while making targeted investments in infrastructure that support reliability and safety. We remain committed to delivering dependable energy at the lowest reasonable cost for North Dakota customers.”

MDU’s electric rates in North Dakota remain competitive and below national averages. According to the Edison Electric Institute’s latest survey of typical bills and average rates, the company’s North Dakota residential electric rates for the 12 months ending Dec. 31, 2025, ranked as the seventh lowest in the nation among 164 utilities surveyed.

The company’s approach for setting rates is designed to reduce the risk related to serving large-load customers by ensuring costs are directly assigned and benefits are shared with existing customers. North Dakota customers received a total benefit of $38.4 million over the last three years. This amounts to an average annual savings of approximately $64 per customer.

MDU provides electricity to a number of communities in northwestern and northcentral North Dakota.

The rate request is pending PSC approval.