Customers Asking State Regulators to Block Utilities From Increasing Electric Rates

Tuesday, September 16th, 2025 -- 12:00 PM

(Joe Schulz, Wisconsin Public Radio) Customers from some of Wisconsin’s largest electric utilities this week asked state regulators to block the utilities from increasing electric rates in each of the next two years.

According to Joe Schulz with the Wisconsin Public Radio, it comes as two utilities have proposed settlement agreements shrinking the size of their rate hikes. Earlier this year, Alliant Energy, Xcel Energy and Madison Gas and Electric filed applications with the Public Service Commission of Wisconsin, or PSC, to increase their electric rates in 2026 and 2027.

The three utilities have said they need to increase rates to upgrade aging infrastructure and to pay to build additional resources for generating energy. Since then, Alliant and Madison Gas and Electric have asked the PSC to approve settlement agreements with customer advocacy groups, like the Citizens Utility Board of Wisconsin, the Wisconsin Industrial Energy Group and others, that would reduce the size of their rate increases.

Alliant initially proposed increasing overall electric rates by 8.3 percent in 2026 and 5.7 percent in 2027. Under the settlement, Alliant says electric rates would increase by 5.4 percent next year and 5 percent in 2027.

Madison Gas and Electric, or MGE, applied to increase overall electric rates by 4.89 percent in 2026 and 4.33 percent in 2027. Under the settlement, MGE says those rates would increase by 0.04 percent in 2026 and 3.8 percent in 2027.

In March, Xcel Energy applied to increase overall electric rates by 11.8 percent in 2026 and roughly 7.1 percent in 2027, or by $150.7 million over the two years. That utility has not reached a settlement with advocacy groups.

Tom Content, executive director of the Citizens Utility Board of Wisconsin, said the settlements with Alliant and MGE represent a win for customers. He said both utilities have pledged to undertake new customer-focused programs that will help people save on their bills.

“Both utilities are providing from their shareholders over a million dollars each over the next two years for low-income customers,” Content said. “We think that’s really important at a time when Congress is considering getting rid of low-income energy assistance in Wisconsin and across the country.”

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