We Energies Seeks 9.25% Residential Rate Hike
The utility has asked state regulators to approve electric rate increases for 2027 and 2028 that would raise typical monthly bills.
Updated on Nov. 4, 2026 in Utilities
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We Energies has proposed raising residential electric rates 9.25% in 2027 and 5.5% in 2028, with the state Public Service Commission expected to rule on the request. If approved, the typical residential bill would rise from $142 per month to $157 in 2027 and $166 in 2028.
Why it matters
The increase would fund new solar, wind, battery storage and natural gas projects and add to residents' household energy costs across Wisconsin. The PSC's decision will determine how much of the utility's planned investment customers ultimately pay for.
The utility's filing projects residential bills rising 43.4% by 2028 compared with 2020, based on its proposed rate path. Whether regulators will approve the requested 9.9% return on equity or a lower figure has not been decided.
The players
We Energies
A major Wisconsin electric and gas utility that serves millions of customers and is proposing the rate increase.
Public Service Commission of Wisconsin
The state regulator headed by three commissioners appointed by Gov. Tony Evers, which will decide whether to approve the proposed rates.
Citizens Utility Board
A Wisconsin consumer advocacy group that asked the PSC to reduce the requested return on equity to 9.1%.
The details
The increase reflects new generation projects valued at $230 million through 2028, along with higher operations, maintenance and fuel costs tied to the Point Beach Nuclear Plant power purchase agreement. Wisconsin Public Service separately proposed a 14-15% increase, while the PSC has also approved a distinct electric rate for large data centers.
Timeline
April 2026: The PSC approved a separate electric rate for large data centers, including Microsoft's Mount Pleasant campus and Vantage's Port Washington project.
January 2027: Higher electric bills are expected to take effect if the proposal is approved.
2024-2026: The last We Energies rate increase added around $15 to monthly bills.
Industry Pressure
The rate request arrives as Wisconsin's power demand is projected to grow about 40% by 2032, driven in part by large data centers and the need to replace aging generation. Utilities across the state are being pushed to balance infrastructure investment against the cost burden on ratepayers.
If approved, the average household would see roughly $13 added to its monthly electric bill in 2027 and another $8-9 in 2028. Customers may want to review their energy use and watch for the PSC's final decision on the rate schedule.
The takeaway
Electric bills in Wisconsin are on track to climb substantially over the next two years, and the PSC's ruling will set how much of that cost falls on households. Staying informed about the commission's decision can help residents plan their household budgets accordingly.
What happens next
The Public Service Commission is expected to rule on the proposed rate hikes, with any approved increases affecting bills starting in January 2027.
Further reading
For broader context on how utility costs are set, explore Utilities coverage.
Source note: This article includes information reported by Journal Times.
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