Today, the Minnesota Public Utilities Commission (PUC, or Commission) accepted public comments in its statewide investigation into the affordability of electric and natural gas service from rate-regulated utilities (Docket No. E,G999/CI-26-341). The inquiry will examine how regulatory practices, state and federal requirements, and other cost drivers affect customer bills, as well as if changes are needed to better support Minnesota’s homes, businesses, and agricultural customers. While Minnesota’s average energy costs are among the lowest in the country, statewide averages can distort how higher energy bills affect individual households.
“Fresh Energy appreciates that the Commission opened this investigation,” said Shubha Harris, chief equity policy officer at Fresh Energy. “Minnesota’s energy costs compare favorably to national averages, but those averages can mask how heavy a bill is for households with a low or moderate income. The Commission has an opportunity to define affordability based on what a customer can actually pay, while keeping system costs as low as reasonably possible and investing in clean energy solutions that reduce bills over time.”
Fresh Energy filed written comments in the docket today, recommending the Commission use energy burden, the share of household income spent on energy, as the primary starting point for measuring affordability. This definition may be supplemented by data on arrearages, transportation costs, and health impacts. Fresh Energy also encouraged the Commission to consider an energy-burden target and income-based rates or discounts, drawing on programs from other states, and to explore automatic enrollment for certain households.
Consistent with Fresh Energy’s recommendations in our comments, the Minnesota Attorney General’s Office addressed Commissioners on October 13 advocating for a more holistic definition of affordability that emphasizes that households should be able to pay for energy needs while maintaining their health and safety and without sacrificing their dignity. Furthermore, their panel presentation raised the question of whether rates can be just and reasonable if they are not affordable. A meaningful affordability framework should therefore consider what customers can reasonably afford to pay for the energy they need, and it should meaningfully reflect customer participation to ensure that it is not simply designed for customers but designed with them.
The Commission opened the docket in September 2026 and held its first informational session on utility affordability on October 13, 2026, facilitated by the Regulatory Assistance Project (RAP). The next informational sessions will take place on November 2 and December 8, 2026. Fresh Energy looks forward to engaging in this docket to advocate for an equitable, affordable clean energy transition that works for all Minnesotans, regardless of income.