MidAmerican Energy seeks natural gas rate increase in Iowa

Utility company says typical residential monthly bills would increase about $2.89 per month, remain below 2006 level
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    MidAmerican Energy has filed a request with the Iowa Utilities Commission to raise the delivery portion of its natural gas rates in Iowa, a change the company says would push the typical residential customer’s monthly bill up by about $2.89.

    The proposed change affects only delivery rates — the portion of the bill that supports infrastructure and operations used to move natural gas to homes and businesses. It does not affect the cost of gas itself, which is set by the market and passed through to customers without markup, according to the company.

    Under the proposal, a typical residential customer’s monthly bill would rise about 5%, from $55.60 to $58.49, based on average monthly residential gas usage. Business customer impacts would vary by rate class and usage but are expected to fall in a similar percentage range, with final bill changes to be determined by the IUC.

    The commission’s review process includes four public consumer comment meetings. A Cedar Rapids meeting is scheduled for Sept. 8, 2026, at 6 p.m. at the Hilton Garden Inn, 4640 N. River Blvd. NE. A virtual meeting will be held Sept. 9, 2026, at noon; details are available at iuc.iowa.gov.

    Additional in-person meetings are set for Sept. 9, 2026, at 6 p.m. at the Holiday Inn Des Moines – Airport Conference Center, 6111 Fleur Drive, and Sept. 10, 2026, at 6 p.m. at the Sioux City Convention Center, 801 Fourth Street.

    More information on the proposal is available at MidAmericanEnergy.com/Iowa or by calling 1-888-427-5632.

    Karrie Leza, vice president of gas delivery, said the company recognizes the sensitivity of any bill increase.

    “We know customers don’t want to see any part of their bill go up, and we do not take that lightly,” Ms. Leza said. “This request reflects the careful work our people are doing to manage costs while continuing to safely operate more than 25,000 miles of natural gas lines across Iowa. These are the types of investments that reduce risk, bring critical systems up to date, and avoid more costly problems for our customers later on.”

    Even with the proposed increase, MidAmerican said the typical residential natural gas bill would remain lower than it was two decades ago and among the lowest in Iowa. Based on the same level of average monthly usage, a customer’s bill would be $58.49 under the proposed rates, compared with $74.10 in 2006, not adjusted for inflation. The company attributed the difference to years of relatively stable base rates and lower natural gas supply costs compared with 20 years ago.

    Customers in Waukee, which joined MidAmerican’s system in 2025 and received an immediate rate reduction at that time, would continue to pay rates nearly 25% below the city’s projected 2027 rates under its former municipal gas system, even with the proposed adjustment, the company said.

    MidAmerican said many of the investments tied to the request are intended to reduce risk and improve reliability, particularly during winter months, and to avoid higher costs later. The company said it reviewed the timing and scope of planned work and prioritized projects related to safety, reliability, regulatory compliance and customer service, sequencing projects where practical to manage costs and deferring or rescoping work that did not meet those priorities.

    Key initiatives cited in the filing include replacing and inspecting gas lines before problems occur, completing 24 miles of transmission pipeline integrity work from 2024 to 2027, replacing low-pressure gas mains through 2030, relocating gas facilities for public road and bridge projects, increasing excavation and underground location work, modernizing technology, maintaining emergency response capabilities, and managing higher labor, material and contractor costs.

    As allowed by law, MidAmerican will put temporary gas delivery rates into effect July 17 while the Iowa Utilities Commission reviews the permanent rate request. Temporary rates are not final. After its review, the commission will order final rates, which may differ from the company’s proposal and will take effect on a date the commission sets. If final rates are lower than the temporary rates, MidAmerican said it will refund the difference to customers with interest.

    More information on the proposal is available at MidAmericanEnergy.com/Iowa or by calling 1-888-427-5632.

    MidAmerican Energy, headquartered in Des Moines, serves 838,000 electric customers in Iowa, Illinois and South Dakota, and 811,000 natural gas customers in Iowa, Illinois, Nebraska and South Dakota.

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