South Dakota

Why is it like this in South Dakota?

South Dakota's electricity rate of about 12.8¢/kWh is near the national low — currently just below the level where electricity and gasoline break even per mile for a typical PHEV. A 12% Xcel rate increase was approved for South Dakota customers, effective July 2026, and Otter Tail Power is seeking a 12.5% hike in northeastern areas of the state. If both increases take full effect, South Dakota electricity costs would rise enough to significantly narrow the electric advantage — though at the January 2026 baseline, electricity wins per mile by a comfortable margin.

In the news · South Dakota

• Regulators begin reviewing Otter Tail Power's proposed 12.5% electric rate increase

  South Dakota Searchlight · Jun 18, 2025

  Otter Tail filed for a 12.5% rate hike (~$14.39/month for typical residential customers) in northeastern South Dakota — if approved, it would push electricity costs higher and affect PHEV charging economics in that service territory.

• South Dakota Xcel customers will pay higher electric rates after utilities commission settlement

  South Dakota Searchlight · May 9, 2026

  A 12% ($13.48/month) increase for Xcel's South Dakota customers, effective July 2026 — the second utility rate hike to clear regulators in 2025–26, meaning South Dakota PHEV owners face higher home-charging costs from two of their major utilities.

Curated coverage of South Dakota's EV/PHEV cost, policy, and infrastructure story. External links open in a new tab.

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