Our Pricing

Electricity is an essential part of everyday life. Whether you’re at home, work, or running a business, you count on it to be there when you need it. 

Providing safe, reliable, and cost-effective electricity is our job. Affordability isn’t just about low rates. It’s about bills you can understand, plan for, and manage 

Careful planning, disciplined investments, and responsible cost management all play a role 

From maintaining and strengthening our system to preparing for future energy needs, we’re focused on delivering dependable service while balancing affordability and reliability 

Anticipated cost changes

Reliable electricity requires ongoing maintenance, system upgrades, and long-term planning. Much of that work happens behind the scenes, but it helps ensure power is available when you need it.  

While we carefully manage costs and prioritize costeffective options, some investments necessary to provide safe, reliable service come with added expense.  

When we request cost changes from state commissions, we base those requests on careful analysis of system needs, operating costs, and future investments. We also consider the impact on customers and work to communicate changes clearly and proactively.  

Because each state regulates utilities independently, any approved adjustments will vary by state, year, and customer type.

Learn more about how price changes are approved

Average rate comparisons

Electric rates are measured in cents per kilowatt-hour (kWh), which reflects the cost of using electricity over time. Below are average rate comparisons in kWh. 

Our residential electric rates are approximately 31% below the national average and about 20% below the regional average. 

Minnesota

State average

Otter Tail Power average

Residential

15.45

11.33

Commercial

12.15

9.31

North Dakota

State average

Otter Tail Power average

Residential

11.51

11.38

Commercial

7.19

6.84

South Dakota

State average

Otter Tail Power average

Residential

12.86

10.93

Commercial

10.55

7.33

United States

State average

Otter Tail Power average

Residential

16.48

11.31 (weighted average)

Commercial

12.75

8.12 (weighted average)

Source: U.S. Energy Information Administration, Total Electric Industry-Average Retail Price, October 2024

Save money and energy

If you're looking to conserve energy—to save money or to help the environment—we can help! Cut costs by signing up for energy-saving rebates and efficiency programs and explore our money-saving rates available through our off-peak energy programs.