Xcel Energy Seeks Natural Gas Rate Hike in North Dakota

Utility files for 11.96% increase, citing system upgrades and safety improvements

Published on Mar. 2, 2026

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Xcel Energy has filed a request with the North Dakota Public Service Commission to increase natural gas rates for customers by 11.96%, which would equate to an additional $10.15 per customer per month. The utility says the rate hike is needed to cover the costs of improvements made to keep its natural gas system safe and ready for the future.

Why it matters

Natural gas is a critical home heating fuel in North Dakota, especially during the state's long, cold winters. Any rate increase could significantly impact household budgets, particularly for low-income families. The public utility commission will need to carefully weigh the need for infrastructure upgrades against the affordability of natural gas for consumers.

The details

Xcel Energy, one of the largest electricity and natural gas providers in North Dakota, has submitted a formal request to the state's Public Service Commission to raise natural gas rates by 11.96%. The utility says the increase is necessary to cover the costs of improvements made to its natural gas distribution system to ensure safety and reliability for the future.

  • Xcel Energy filed the rate increase request on February 20, 2026.

The players

Xcel Energy

A major electric and natural gas utility company serving customers across eight states, including North Dakota.

North Dakota Public Service Commission

The state regulatory agency responsible for overseeing public utilities and setting rates in North Dakota.

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What’s next

The North Dakota Public Service Commission will hold hearings to review Xcel Energy's rate increase request and make a final decision on whether to approve the proposed 11.96% hike.

The takeaway

This rate increase request highlights the ongoing challenge of balancing the need for utility infrastructure investments with the affordability of essential services like natural gas heating for North Dakota consumers, especially lower-income households.