We Energies filed proposals with the Public Service Commission of Wisconsin (PSCW) today for regulatory reviews that will set customer rates for electricity, natural gas and steam for 2025 and 2026.
The focus of the filing is on three key priorities: reducing customer outages, building infrastructure needed to support jobs and economic growth in Wisconsin, and meeting new EPA environmental rules.
The vast majority of the filing is to recover costs of renewable and low-carbon power plants the PSCW has already approved.
The proposal also includes critical investments in storm hardening and grid resiliency — an increasingly important effort to keep the lights on as Wisconsin has seen stronger and more frequent severe storms. The company is proposing to bury hundreds of miles of power lines over the next decade and increase tree trimming to remove dead ash trees outside the company’s trim zone.
The request includes millions of dollars of savings from the closure of the old coal units at the Oak Creek Power Plant as well as tens of millions of dollars in tax credit savings tied to new renewable energy facilities.
Bills will remain below national average
Assuming the Commission’s revenue allocation is consistent with past practice, the typical monthly residential electric bill will increase $10-$11 a month in 2025.
Typical residential electric bills are significantly below the national average and in line with other utilities in Wisconsin and across the Midwest. If this request is fully approved, that will still be true.
Natural gas and steam
We Energies natural gas customers would see a $6-$8 increase in their monthly bills in 2025 as part of the filed plan. The typical We Energies residential heating bill was down $150 this winter compared to last winter.
Bills for We Energies steam customers in downtown Milwaukee would see an 8.4% increase in 2025 as part of the filed plan.
Next steps
In May, We Energies will update the filing to include more specific information on the impact for each customer group. The company also will provide this information to customers through a bill insert and on we-energies.com.
The PSCW will conduct hearings on the We Energies proposals and is expected to make a final decision later this year. New rates are expected to take effect in January 2025.
About We Energies
We Energies serves more than 1.1 million electric customers and 1.1 million natural gas customers in Wisconsin. We Energies is the trade name of Wisconsin Electric Power Co. and Wisconsin Gas LLC, subsidiaries of WEC Energy Group Inc. (NYSE: WEC). Learn more about We Energies at we-energies.com and WEC Energy Group at wecenergygroup.com.
Forward Looking Statement
Certain statements contained in this press release are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements are based upon management’s current expectations and are subject to risks and uncertainties that could cause actual results to differ materially from those contemplated in the statements. Readers are cautioned not to place undue reliance on these statements. Forward-looking statements include, among other things, statements concerning management’s expectations and projections regarding rate case filings, including proposals for spending and investment and recovery requests; regulatory actions and decisions; and impact on customers. The following factors, in addition to those discussed in each of WEC Energy Group, Inc.’s, and Wisconsin Electric Power Company’s Annual Report on Form 10-K for the year ended December 31, 2023 and in subsequent reports filed with the Securities and Exchange Commission, could cause actual results to differ materially from those contemplated in any forward-looking statements: the possibility that the PSCW’s order will differ from the terms of the proposals; the timing, resolution and impact of rate cases and other regulatory decisions; general economic conditions, including business and competitive conditions in WEC Energy Group, Inc.’s service territories; WEC Energy Group Inc.’s ability to continue to successfully integrate the operations of its subsidiaries; availability of generating facilities and/or distribution systems; unanticipated changes in fuel and purchased power costs; key personnel changes; unusual, varying or severe weather conditions; continued industry restructuring and consolidation; continued advances in, and adoption of, new technologies that produce power or reduce power consumption; energy and environmental conservation efforts; electrification initiatives, mandates and other efforts to reduce the use of natural gas; WEC Energy Group Inc.’s ability to successfully acquire and/or dispose of assets and projects and to execute on its capital plan; terrorist, physical or cyber-security threats or attacks and data security breaches; construction risks; labor disruptions; equity and bond market fluctuations; changes in WEC Energy Group, Inc.’s and its subsidiaries’ ability to access the capital markets and shareholder approval of related proposals; changes in tax legislation or WEC Energy Group, Inc.’s and its subsidiaries’ ability to use certain tax benefits and carryforwards; federal, state, and local legislative and regulatory changes, including changes in rate-setting policies or procedures and environmental standards, the enforcement of these laws and regulations or permit conditions and changes in the interpretation of regulations by regulatory agencies; supply chain disruptions; inflation; political or geopolitical developments, including impacts on the global economy, supply chain and fuel prices, generally, from ongoing, escalating, or expanding regional conflicts; the impact from any health crises, including epidemics and pandemics; current and future litigation and regulatory investigations, proceedings or inquiries; changes in accounting standards and the ability of WEC Energy Group, Inc. or its subsidiaries to obtain additional generating capacity at competitive prices. Except as may be required by law, WEC Energy Group, Inc., and Wisconsin Electric Power Company expressly disclaim any obligation to publicly update or revise any forward-looking information.