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Evergreen Energy outlines smaller 2026 Duluth budget, aims to cut coal use further
Summary
Evergreen Energy presented a 2026 operating plan for the Duluth district that trims appropriation slightly (just under $15 million), proposes a 1.1% overall rate increase for customers (5.3% for Canal Park hot-water customers), and emphasizes further moves from coal to natural gas, new metering and hot-water customer conversions.
Evergreen Energy operations lead Mike Burns told the Duluth City Council that the company’s 2026 Duluth appropriation will be slightly smaller than 2025, at "just a shade below $15,000,000," reflecting lower expected fuel costs and a modest reduction in staffing through attrition. Burns said overall customer rates would rise about 1.1% next year, with a targeted 5.3% increase for Canal Park hot‑water customers as the utility aligns historic Canal Park discounts with downtown rates.
Burns said the system’s revenue structure separates fuel-driven consumption charges from a capacity charge that covers labor, maintenance and debt service, and that 2025 revenues trended below budget…
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