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Detroit Lakes Approves Utility Rate Increases for 2025

By Trish Johnson Nov 15, 2024 | 6:00 AM

The Detroit Lakes City Council has approved rate increases for electric, water, and sewer services beginning in January 2025. Rates will rise by 5% for electricity, 12% for water, and 2% for sewer. For the average residential customer, this means an additional $4 per month for electricity and $3 for water, with the sewer increase adding about 90 cents to monthly bills.

 

The electric rate hike is due to higher wholesale power costs from Missouri River Energy Services and the Western Area Power Administration and investments in local power equipment. On the waterside, the increase supports infrastructure updates, including the cost of replacing the water tower and improvements tied to street projects. Sewer rates are adjusted to cover inflationary costs for the waste treatment plant.

 

Despite the changes, Detroit Lakes Public Utilities General Manager Vernell Roberts emphasized that Detroit Lakes’ rates remain competitive with nearby communities, even as neighboring providers raise rates.