In late 2025, I shared why the cost of providing electricity has been rising and what that meant for Crow Wing Power members. As 2027 approaches, I want to continue that conversation and give you an honest look at what’s ahead.
Several factors are driving costs up: the rising price of wholesale power (the electricity we buy and deliver to your home or business), inflation, growing demand for electricity, and the investments needed to keep our lines, poles and substations strong. These pressures aren’t unique to us; electric cooperatives across the country are facing them as well.
Last year, the Basin Electric Power Cooperative board heard concerns from its members and chose to split a larger wholesale rate increase into two smaller steps rather than take it all at once. The second step takes effect in January 2027, which means the cost of the power we purchase will go up again.
What that means for your bill has not been decided yet. An increase in what we pay for power does not automatically translate into the same increase on your bill. Our board of directors and staff are working with Power System Engineering, an outside consulting firm, to carefully review our budget and determine how much of this cost needs to be reflected in member rates. We anticipate an adjustment to your per-kilowatt-hour (kWh) rate beginning with your January electricity use, and we will share the specific details with you as soon as the board finalizes them.
There is encouraging news beyond 2027. Basin Electric’s long-term rate forecast shows wholesale rates leveling off for the next few years. While costs can always shift, our goal is to plan carefully, invest wisely and give you more predictability in your monthly bill. The hard work of the past two years is setting us up for steadier ground.
For a refresher on last year’s adjustment, the December 2025 special edition of The Current Connection explains the factors behind rising power costs and the decisions involved.
No one welcomes a rate increase, and I’m grateful for your patience and understanding. As your member-owned cooperative, we’ll keep you informed every step of the way. If you have questions in the meantime, please don’t hesitate to reach out to our team. We’re always glad to talk with you.
Your Cooperative, Our Commitment
Tim Thompson
Chief Executive Officer