Black Hills Energy today announced that the Nebraska Public Service Commission (NPSC) approved its request to update natural gas rates to support critical infrastructure investments needed for the safe and reliable delivery of natural gas. The new rates will take effect Jan. 1, 2026, replacing temporary rates that have been in effect since Aug. 1, 2025.
Under the new rates, the average residential customer will see a total monthly bill increase of $2.85, which is lower than the temporary rate increase of $6.27 per month. This is based on an average monthly usage of 54 therms. Because the new rates are lower than the temporary rates, customers will receive a one-time bill credit in mid-2026, refunding the difference between the two rates.
The new rate does not affect the cost of natural gas, which is adjusted monthly in Nebraska. Natural gas prices are a pass-through cost without any markup from Black Hills Energy.
It has been five years since Black Hills Energy last updated its rates. Since 2020, the company has invested over $453 million to support safe and reliable natural gas service for over 304,000 Nebraskans in more than 300 communities across the state.
Interim Rate Refunds
As permitted under Nebraska law and part of the Nebraska PSC’s rate review process, customers began to see interim rates applied to their bills effective on Aug.1, 2025.
Following the Commission’s final rate approval, customers will receive a refund (with interest) for the difference charged by Black Hills Energy from Aug. 1, 2025, to Jan. 1, 2026. Those refunds are currently estimated to appear as a credit on customer bills in mid-2026 after the Nebraska PSC reviews and approves the company’s refund plan.