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Public Service Commission approves MDU amendment raising Applied Digital power allotment to 350 MW
Summary
The North Dakota Public Service Commission on Feb. 3 adopted an order approving an amendment to Montana Dakota Utilities Company’s electric service agreement with Applied Digital Corporation that increases the permitted load from 225 megawatts to 350 megawatts and extends the agreement to Aug. 31, 2030.
Commissioner Hogan moved and the North Dakota Public Service Commission adopted an order on Feb. 3 approving an amendment to Montana Dakota Utilities Company’s electric service agreement with Applied Digital Corporation that increases the company’s permitted electrical service from 225 megawatts to 350 megawatts and extends the agreement’s expiration to Aug. 31, 2030.
The amendment was filed by MDU on Sept. 5 and references a prior commission approval of the original agreement on May 23, 2024 (case number PUD-23-322). The commission also noted that MDU filed an updated data center load study with the commission on Dec. 6, 2024, and that an informal meeting with MDU occurred on Jan. 14, 2025. Commissioners recorded no requests in response to the notice of opportunity issued earlier in the review process.
Commissioner Hogan summarized the amendment on the record and recommended approval. “The amendment increased the amount of electrical service that Applied can take from MDU from 225 megawatts to 350 megawatts, and then to extend the expiration date to 08/31/2030,” Hogan said. Hogan also cited MDU’s estimate that, when Applied is operating at the full 350-megawatt capacity, an average residential customer using about 800 kilowatt-hours per month would save roughly $196–$198 per year.
Commissioner Randy Christman cautioned that the full average-savings estimate would likely appear only after Applied reached full capacity. “I don’t want people to think that this is coming on their next bill,” Christman said, noting the savings projection is tied to full project build-out and operation.
The commission approved the motion by voice vote; the transcript records an “aye” and the chair declared the motion approved. The meeting also approved the consent calendar (two items) and the previous meeting minutes earlier in the session.
Why it matters: The amendment increases the amount of distributed load MDU may provide to a single data center customer and extends the term of the service agreement; the commission record links the change to a commission-reviewed load study and an informal meeting with the utility. Commissioners emphasized that estimated residential bill impacts are tied to full project operation rather than immediate rate changes.
The commission recessed after adjourning; its next regular meeting is scheduled for Feb. 19 at 10:00 a.m.
