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Action Alert: Tell the PSC to Reject We Energies' Rate Increase Proposal
- 4 days ago
- 5 min read
Updated: 18 hours ago
We Energies is seeking a 14% residential electric rate increase by 2028. The Public Service Commission (PSC), which regulates Wisconsin utility monopolies, is currently accepting written comments and is hosting a public hearing on proposed rate increases for We Energies customers in 2027 and 2028.
September 1st at 1 PM and 6 PM
Alumni Memorial Union, Milwaukee
Proposed Rate Hikes: The utility’s proposal would increase the typical residential customer’s electric bill by $14.67 per month, or 10.28%, effective January 1, 2027, and by an additional $8.69 per month, or 5.52%, effective January 1, 2028.
These proposed changes are in addition to other recent We Energies rate increases:
December 2022: The PSC approved an 11% increase in the electricity costs for We Energies residential customers.
November 2024: The PSC approved a 13% to 14% increase in the electricity costs for We Energies residential customers.
Considering the full picture, these increases would amount to roughly a 50% increase from 2022 to 2028 alone.
This rate increase would cause significant health harms, and lead to more shut-offs. High energy burden and/or shut-offs can also result in a loss of medical treatment, specifically for those with chronic conditions that are reliant upon energy-dependent devices for treatment or maintenance of their condition (i.e. supplemental oxygen and refrigeration for insulin).
Additionally, high energy burden contributes to chronic stress and mental health issues associated with the fear of not being able to pay bills and losing electricity service. It can also lead to malnutrition and risks to child growth and development. Per the “heat or eat” effect, low-income families tend to spend less on food as their energy costs increase. Despite the growing literature defining high energy burden as a serious public health issue, we have made little-to-no-gains in addressing this issue. Since 2021, the racial disparity has remained largely unchanged and energy burden has worsened among lowest-income households in Milwaukee.
The rate increases would add additional costs to an affordability crisis while We Energies continues to invest in costly fossil fuels and not in wind and solar, which are the cheapest forms of energy, healthier for people, and our planet.
Data Center gas plants: Part of We Energies’ justification for the rate increases is that they need higher rates to support the buildout of new gas infrastructure projects to accommodate rising energy demand from data centers. While the PSC has established a new tariff rate for very large customers (Data Center) to safeguard residential customers from bearing the costs of data centers, evidence from other states suggests the buildout of data centers is still correlated to rising electric rates and costs for residential customers.
Example Comment
This is a long example; to provide options for people to copy any lines they feel strongest about. Even submitting a single sentence is helpful, and your story is powerful.
First Name: Jane Last Name: Doe, DNP (Note: add your health credentials to your name)
“As a concerned [citizen/healthcare professional/parent…] I ask that the PSC staff deny the proposed We Energies rate proposal due to the environmental and community health-related harms it will cause. Increasing rates will exacerbate energy burden for Wisconsin families and cause negative effects on community health and the climate. Instead of raising rates, We Energies should invest in energy efficiency programs and renewable energy, which is much cheaper than costly fossil fuel infrastructure.
Access to affordable energy is a health issue as high energy costs and shutoffs contribute to hypothermia and heat illness, worsening of existing health conditions, loss of treatment and malnutrition. People with cardiovascular, pulmonary, and respiratory diseases and arthritis tend to be more sensitive to extreme temperatures, while people with chronic conditions are more reliant on energy-dependent devices for treatment or maintenance of their condition. As increasing rates force families to choose between putting food on the table and paying their rising electricity bill, energy shut-offs may contribute towards negative health outcomes.
We Energies has already raised rates significantly since 2022, and if you accept this proposal, rates will have increased roughly 50% since 2022. Wisconsinites should not have to pay for Wall Street Investors’ profits or for We Energies to lobby against community solar at the expense of our health and ability to feed our families.
Please fulfill your obligation to protect the public and provide safe and affordable energy by denying the We Energies rate proposal.”
Talking Points
Due to the numerous negative impacts associated with high energy costs, we are asking that the PSC deny the We Energies Rate Proposal. Click the arrow on each point below to see more details.
Health harms - High energy costs and shutoffs contribute to... (click arrow)
Hypothermia, heat illness, and heat-related death. Exposure to extreme temperatures can cause severe injury and death.
Worsening of existing health conditions. People with cardiovascular, pulmonary, and respiratory diseases and arthritis tend to be more sensitive to extreme temperatures.
Loss of treatment. People with chronic conditions are more reliant on energy-dependent devices for treatment or maintenance of their condition.
Mental Health Issues. Fears over utility debts or shutoffs are associated with chronic stress and other long-term mental health issues.
Malnutrition. Low income households tend to spend less on food and consume less calories as their energy costs increase.
Health inequities. African Americans in the U.S. are more likely to experience energy burden due to the housing stock available from racial residential segregation, which contributes to health inequities.
The rates are already too high, and customers are paying too much, and for things we shouldn’t have to.
Utility executives are taking home multi-million dollar salaries, gifts, travel, and stock investments funded on our dime. People do not get a choice whether to pay for the austerity of executives, it’s pay or the lights and heat turn off. Utility executive compensation packages should be capped before we pay higher rates.
We Energies is currently using ratepayer funds for lobbying, misleading marketing, and propaganda that undermine public policy and trust. Monopoly utilities should serve the public’s best interest, not solely maximize profits, to keep their status. We should not raise rates to continue to fund lobbying against our community’s interest at our expense.
In the US, nearly 1 in 3 families struggle to pay their energy bills. Others experience inadequate physical conditions, living in homes that cannot maintain safe indoor temperatures or protect against environmental hazards
We are still paying nearly $700 million in stranded assets including retired power plants in Pleasant Prairie and Oak Creek.
The solution - deny the proposal and reduce their guaranteed profit margin (return on equity). We have better, safer, and cheaper options.
As local families struggle to pay their bills, their executives and shareholders rake in millions of dollars in profits every year. No more rate increases!
Wind and solar are among the cheapest forms of energy, instead of raising rates to pay for costly fossil fuel infrastructure, electric rates should remain as is so we can incentivize We Energies to invest more in energy-efficiency programs and more cost-effective forms of energy.
Before raising rates, the Public Service Commission and We Energies should:
Fund and expand energy assistance programs that are accessible to low-income populations.
Implement a percentage of income payment program (PIPP), where low-income households pay a fixed percentage of their monthly income for utility bills, instead of a rate based on usage
Implement performance-based ratemaking (PBR) that includes incentives for utilities to improve their affordability, especially among low-income households.
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