PUC approves Mid‑American transmission cost recovery factors after questions on oversight and past refunds

The South Dakota Public Utilities Commission voted to approve Mid‑American Energy Company’s revised transmission cost recovery (TCR) rate factors, with an effective date of April 2, 2026.

Gretchen Kramer, representing Mid‑American Energy, told commissioners the filing updates longstanding annual requests and reflects the company’s participation on MISO committees and transmission owner groups. "We also have Lori Brock House available to answer any questions," Kramer said, summarizing the company’s work with regional committees.

Pat Stevenson of PUC staff said staff had reviewed Mid‑American’s responses and recommended approval. Commissioners probed whether Mid‑American’s participation on MISO committees and transmission‑owner groups had yielded cost‑effective outcomes for customers and asked for examples. Kramer said the company works with staff across subject areas and that, in some instances, modeling requests have been accepted by the regional planning authority.

Commissioners also raised an outstanding policy issue about returning excess return on equity (ROE) or other excess amounts collected in past years. Commissioners said the fair approach would be to return excess funds going back to 2015 rather than prolong litigation or procedural fights.

The commission approved the revised transmission cost recovery rate factors. Vote was recorded as unanimous (Commissioner Hansen: I; Commissioner Nelson: I; Vice Chairperson Fegan: I).

Why it matters: The TCR filing sets how Mid‑American recovers transmission costs from customers; commissioners want to ensure that committee participation and regional rules translate into reasonable rates and to resolve long‑running questions about refunds to ratepayers.