Minnesota Power (ALLETE, Inc.) Rate Selection Guide
Minnesota Power, the utility division of ALLETE, Inc., is an investor-owned electric utility serving ~150,000 customers across 26,000 square miles of northeastern Minnesota. Its load is dominated by very large energy-intensive industrial customers (taconite mining and paper). Customer data is available through the MyAccount portal and a Consent to Disclose authorization form; the utility does not offer Green Button, EDI, or a public API.
Minnesota Power (ALLETE, Inc.) Rate Schedule Comparison
| Schedule | Type | Rate | Best For |
|---|---|---|---|
| General Service | Commercial | ~$15/mo service + $8.00/kW demand + 6.507 cents/kWh (2023 published; demand-metered) | Small to mid-size commercial and light industrial under 10,000 kW |
| Large Light and Power | Industrial | $1,050 first 100 kW + $9.50/kW + $4.00/kW transmission + 4.574 cents/kWh (2023 published), high-voltage discounts | Large industrial and high-demand commercial loads |
| Dual Fuel Interruptible | Industrial | ~4.703-6.916 cents/kWh energy + small service charge (2023 published) | Customers with backup energy source willing to be interrupted for a discount |
| EITE Rates | Industrial | Negotiated/reduced, MPUC-approved, confidential | Taconite mines and paper mills under the 2015 EITE law |
Market Overview
Minnesota Power is a regulated investor-owned utility (division of ALLETE) under MPUC jurisdiction. Minnesota does not allow retail electric choice, so all customers buy bundled service at MPUC-approved tariff rates. Base rates are set in periodic general rate cases and adjusted via riders (fuel/purchased energy, transmission cost recovery, renewable, conservation). ALLETE was taken private in 2024 by a partnership led by Canada Pension Plan Investment Board and Global Infrastructure Partners.
Need to pull your actual usage data to compare rates? See the Minnesota Power (ALLETE, Inc.) Data Access Guide →
Current Rate Schedules
Minnesota Power's C&I rates are set in its MPUC-approved Electric Rate Book. The published commercial/industrial schedules are General Service (loads under 10,000 kW) and Large Light and Power (loads under 50,000 kW; demand-billed), plus optional Commercial/Industrial Dual Fuel Interruptible and Fixed Off-Peak schedules. The dollar figures below are from the rate brochure approved May 15, 2023 (effective Oct 1, 2023). The 2024 general rate case (MPUC Docket E015/GR-23-155) was approved in Oct 2024, raising industrial/large commercial rates ~4.4% over 2023 levels effective early 2025; the current rate book is effective Jan 1, 2026. Verify exact current cents/kWh and $/kW in the live tariff book before pricing a contract.
Effective: January 1, 2026 · Full Tariff Book →
| Schedule | Type | Applicability | Structure | Rate |
|---|---|---|---|---|
| General Service (with demand meter) | commercial | Commercial/industrial customers with total power requirements under 10,000 kW served through one meter; placed on a demand rate when usage exceeds ~2,500 kWh for three months or connected load implies >10 kW. | As published 2023: Service Charge $15.00/mo; Demand Charge $8.00/kW; Energy Charge 6.507 cents/kWh (demand-metered) or 9.332 cents/kWh (non-demand). Minimum 3-phase charge $25.00. Plus fuel and rider adjustments. Subsequent ~4.4% increase applies for current levels. | — |
| Large Light and Power Service | industrial | Large C&I customers with total power requirements under 50,000 kW; customers over 10,000 kW require a 10-year electric service agreement. Serves most large industrial loads. | As published 2023: Demand Charge $1,050.00 for first 100 kW + $9.50/kW for additional kW; Transmission Demand Charge $4.00/kW; Energy Charge 4.574 cents/kWh. High-voltage discounts of $2.45/kW (primary), 0.800 cents/kWh (transmission), and 0.153 cents/kWh (bulk distribution). Plus adjustments; ~4.4% 2024-case increase applies to current levels. | — |
| Commercial/Industrial Dual Fuel Interruptible Service | industrial | C&I customers with a qualifying alternative energy source able to interrupt load. Standard (up to 300 hrs/yr) or Dual Fuel Plus (up to 1,000 hrs/yr). | As published 2023: Service Charge $6.00 (small) / $16.00 (large); Energy Charge ~6.916 cents/kWh standard, ~4.703 cents/kWh Dual Fuel Plus (low voltage), lower at high voltage. Discounted energy in exchange for interruptibility. | — |
| Commercial/Industrial Fixed Off-Peak Service | industrial | C&I controlled storage or loads energized only 10 p.m.-6 a.m. CPT each day. | As published 2023: Service Charge $6.00 (small) / $16.00 (large); Energy Charge ~4.703 cents/kWh (low voltage). Off-peak-only energy at a discounted rate. | — |
| Energy-Intensive Trade-Exposed (EITE) Rates | industrial | Qualifying energy-intensive, trade-exposed industrial customers (taconite mines, paper mills) under Minnesota's 2015 EITE law; ~11 eligible companies. | Negotiated/reduced rates designed to keep these very large loads competitive in global markets; structure and pricing are confidential/customer-specific and approved by the MPUC. Cite the EITE program documentation rather than a fixed cents/kWh. | — |
Rate Recommendations by Use Case
Large industrial / taconite / paper facility
Very large loads should confirm service under Large Light and Power (or EITE if eligible) and aggressively manage demand and power factor.
Demand and transmission demand charges plus power-factor adjustments dominate large-load bills; high-voltage discounts and EITE eligibility can move the rate materially.
- Engage a business representative (218-355-2843)
- Evaluate EITE eligibility under the 2015 law
- Take service at the highest practical voltage for discounts
- Maintain power factor >=90% lagging
Mid-size commercial / light industrial
Accounts under 10,000 kW on General Service that exceed ~10 kW move to a demand rate; focus on demand control and reviewing whether Large Light and Power is cheaper at higher load factor.
At higher load factors the Large L&P demand-plus-low-energy structure can beat General Service; demand charges reward flatter load shapes.
- Track 15-minute peak kW
- Compare General Service vs Large L&P at your load factor
- Add interval monitoring via consultant + Consent to Disclose
C&I customer with backup generation or shiftable load
Customers with an alternative energy source or overnight/storage loads should evaluate Dual Fuel Interruptible or Fixed Off-Peak service for discounted energy.
Interruptible and off-peak energy rates are well below firm rates in exchange for curtailment or time-of-use restrictions.
- Confirm a qualifying back-up energy source for Dual Fuel
- Model interruption hours (300 vs 1,000) against savings
- Separately meter interruptible load
Multi-site commercial portfolio / data & benchmarking
Portfolios needing centralized data should use ENERGY STAR Portfolio Manager auto-upload plus Consent to Disclose authorizations, since there is no Green Button or API.
MP offers no public API/Green Button/EDI; ESPM is the only automated channel and works at whole-building monthly granularity.
- Set up ESPM data exchange per property
- Use Consent to Disclose for consultant access
- Consider Nectar's API (docs.nectarclimate.com) for aggregation
Historical Rate Trends
Minnesota Power has historically filed full rate cases infrequently (only a few in 25 years) but has signaled rate reviews will become more frequent. Recent cases produced mid-single-digit to ~9% increases.
May 15, 2023
MPUC approved a ~9% increase across all customer classes (Docket E015/GR-21-335); ROE 9.65%. Effective Oct 1, 2023.
+9%October 24, 2024
MPUC approved the 2024 rate settlement (Docket E015/GR-23-155): ~4.9% increase for residential/small business and ~4.4% for industrial/large commercial over 2023 rates; ROE 9.78%. Less than the 8.6% interim rate; difference refunded with interest in early 2025.
+4.4%Overall trend: Rising; mid-single-digit increases in the most recent case after a larger 2023 increase.
Next expected change: Minnesota Power has indicated it expects more frequent rate reviews going forward; monitor MPUC dockets for the next general rate case.
Cost Optimization Strategies
For C&I customers, the biggest savings levers at Minnesota Power are demand management, taking service at high voltage, power-factor correction, and electing interruptible or off-peak schedules where operations allow.
Demand (peak kW) management
For: Demand-metered C&I and large industrial
Because Large Light and Power and demand-metered General Service bill on 15-minute peak kW with ratchet provisions, shaving and shifting peaks (staggering equipment startups, batteries, scheduling) directly lowers demand charges.
High-voltage service election
For: Large customers able to own/operate transformation
Taking and metering service at primary (13 kV+), transmission (115 kV+), or bulk distribution (23-46 kV) voltage earns published discounts of $2.45/kW and up to 0.800 cents/kWh.
Power-factor correction
For: Industrial customers with motor/inductive loads
Bills are adjusted when average monthly power factor falls below 90% lagging. Adding capacitors/correction to maintain >=90% avoids the adjustment penalty.
Interruptible / off-peak schedules
For: C&I with backup energy or shiftable/overnight loads
Electing Dual Fuel Interruptible or Fixed Off-Peak service trades curtailment flexibility for lower energy rates (e.g., Dual Fuel Plus ~4.703 vs ~6.5-9.3 cents/kWh firm, 2023 published).
EITE rate evaluation
For: Energy-intensive trade-exposed industrials
Qualifying energy-intensive trade-exposed industrials (taconite/paper) should evaluate eligibility for MPUC-approved EITE rates designed to keep them competitive globally.
To implement these strategies, you need your 15-minute interval data. Learn how to download Minnesota Power (ALLETE, Inc.) interval data →
Frequently Asked Questions
Can a C&I customer or energy consultant get interval (load) data from Minnesota Power?▾
Yes, but not via a self-service download or API. The MyAccount usage dashboard shows hourly/daily/monthly usage for the account holder. For machine-readable interval data, the customer signs a Consent to Disclose Utility Customer Data form authorizing the consultant, then Minnesota Power releases data (format and granularity as agreed). Raw 15-minute data is generally not available.
Does Minnesota Power support Green Button or a public API for automated data feeds?▾
No. Minnesota Power does not implement Green Button Download My Data or Connect My Data and does not operate a public ESPI/REST API or developer portal. Automated multi-site collection typically requires ENERGY STAR Portfolio Manager (whole-building monthly) or a third-party API such as Nectar — see docs.nectarclimate.com.
How does a large industrial customer benchmark and manage demand?▾
Energy-intensive industrial and large commercial customers are typically served under the Large Light and Power schedule (or EITE rates for qualifying taconite/paper facilities) and are billed on demand. Request a business representative (218-355-2843) for demand management, high-voltage discounts, interruptible (Dual Fuel) options, and rate optimization.
Does Minnesota Power offer EDI (814/820/867/810) for billing automation?▾
No. Standard customer EDI transactions are not publicly offered. Organizations needing structured automated exchange should contact customer service at 1-800-228-4966 to discuss custom arrangements, or use a third-party API such as Nectar (docs.nectarclimate.com).
What is the fastest path for a multi-building commercial portfolio to centralize Minnesota Power data?▾
Set up ENERGY STAR Portfolio Manager and authorize the Minnesota Power data exchange for each property; this delivers automatic monthly whole-building energy data with no manual entry. For more granular needs, combine Consent to Disclose authorizations with a third-party API such as Nectar (docs.nectarclimate.com).
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