Minnkota Doesn't Expect Rate Increase for at Least 2 Years
GRAND FORKS (WDAZ-TV0 - Minnkota Power Cooperative doesn't expect to raise it's rates at least for a another two years. That was the word at its annual meeting on Friday in Grand Forks.
After stuggling last year with a dropping demand in the wholesale eletricity market, Minnkota officials say this coming year will much more stable.
Minnkota Power's 72nd annual meeting has a theme called "Path To Stability. "Last year wasn't so stable. Chairman of Minnkota's Board Collin Jensen says the whole sale market for electricity fell 50 percent from the two previous years.
Jensen says the regional market that spans from Indiana to Saskatchewan has yet to make a comback. He says Minnkota did make cuts where it could, however in the end it was forced last year to pass on a large rate increase.
Minnkota Ceo and President Mac McLennon says the company is on course to do well without an rate increase this year and next. But needed infrastructure improvement could mean other hikes in rates in 2014.
"The challenge with it is we put all this infrastructure in to serve them electricity and turn around and suggest to them to use it wisely meaning it's declining some in its use," McLennan said.
McLennan says one of the benefits of being a member of a power cooperative says if the market turns around, its customers will know it.
"We are not for profit so any extra revenue we make goes to those customers and our members," McLennan said.