Power Company Asks 19 Percent Hike In Colorado Income

PUEBLO, Colo. (AP) - Black Hills Energy is asking Colorado regulators for a rate increase that would boost a typical residential bill by nearly $19 a month and a typical small-business bill by about $67 a month.

The company said Friday the increase would generate about $40 million more a year, an increase of nearly 19 percent in the annual revenue of its Colorado subsidiary.

The increase would take effect Jan. 1, 2012.

Black Hills is based in Rapid City, S.D. The company says the increase will cover capital expenses and operating costs associated with a new power plant in Pueblo and other expenses.

Black Hills says it needs the plant because Xcel Energy will no longer supply it with power after this year.

The utility says it has 93,300 customers in southern Colorado.

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