KOTA Territory NewsProposed electricity hike concerns business owners

Proposed electricity hike concerns business owners

Meredith Garofalo

It's one of the best places to catch up on the latest gossip, and today the topic is the possible electricity rate hike.

"Electricity is a big component to our job," said salon owner Tina Fletcher.

Straighteners, curling irons, and blow dryers; these beauty tools Fletcher and her workers use suck the electricity and blow up the bill.  And if Black Hills Power raises its rates by 26.6%?

"It would definitely make a considerable increase for me which would then have to pass that on to my tenants and then they would have to pass it on to the consumer," said Fletcher.

To pay for increasing costs, especially those associated with the Wygen Power Plant, Black Hills Power representatives said they had to ask the Public Utility Commission for the rate hike.

"What we have is an obligation to serve customers with safe and reliable service," said Kyle White of Black Hills Corporation.  "And, that's what this rate increase is about is the our ability to do that."

However, commissioners said they're not ready to make any decisions just yet.

"When you're talking a 25% or 26% increase, that's not gonna be a decision your going to make quickly, and it's not a decision you're going to make before hearing all the facts," said Dusty Johnson, South Dakota Public Utility Commission. 

Like what kind impact a higher electricity bill will have on Fletcher's salon.

"People will find alternative options of getting their hair done or what to do or choose to do it themselves," said Fletcher.

And her customers.

"It's just another added cost that you know we have...and it just keeps accumulating.  It does affect everybody cause we need that, we need power," said customer Ruthie Craig.

If the hike is approved, it won't take effect until March of 2010.  The South Dakota Public Utilities Commission will hold a public hearing to discuss the increase early next year.