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Starting in June 2011

your Minnesota Power bill contains line items that may be new to you. As part of our commitment to customer service, we thought it would be helpful to explain the adjustments and other items on your bill so you have a better understanding of what these numbers mean.

What are these charges on my bill?

A more detailed explanation of our rates is provided at the Minnesota Power Web site: www.mnpower.com/rates If you have questions, call us at 218-722-2625 or 1-800-228-4966, or write Minnesota Power at 30 W. Superior Street, Duluth, MN 55802.

Explanation of current line items appearing on your Minnesota Power electric bill

www.mnpower.com 1-800-228-4966

J-56117 EDA


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Sample Bill

P00001-0000002

Customer or Service Charge This is your minimum monthly fee and covers the cost of connection to Minnesota Power’s system.

Bill Number: 32059159 06/30/2011 Bill Date: 05/13/2011

1234 ANYWHERE PL DULUTH MN Meter #

Start Date

128422 03/28/11

Residential Service Rate: 20A 31 days Start Read

Read Code

End Date

06/29/11 24,669 regular 04/28/11

End Read

1000

kWh

750 500 250

May 2009

May 2010

This Bill

07/29/2011 05/28/2011

Usage

25,719 regular

Billed for the Last 24 Months

0

Next Scheduled Meter Read:

Read Code

1250

AKDMBPDMDLHOBJDMDLCMEPEIBK ADHMPBONIJMANPLELHGCCJFEJK AAGMIKKIGKEGKGCOEAGOMMIGIK

Energy Charge This fee covers the cost of monthly electric usage. For residential customers, there are five separate rate blocks, with higher rates for higher usage levels. The increasing rate blocks are intended to encourage energy conservation, resulting in energy savings. The more electricity a customer consumes, the more the customer will pay over the preceding block.

Name: JOHN DOE Account: 174682

Page 2 of 2

1,050 Kilowatt Hours (kWh) used Service Charge 300 kWh @ $0.05116 200 kWh @ $0.06753 250 kWh @ $0.08186 250 kWh @ $0.08463 50 kWh @ $0.08955 Total Energy Charge for 1,050 kWh Renewable Adjustment 1,050 kWh @ $0.00149 Transmission Adjustment 1,050 kWh @ $0.00033 Resource Adjustment Minnesota Sales Tax (6.875%) Total charge this service agreement

8.00 15.35 13.51 20.47 21.16 4.48 74.97 1.56 0.35 12.76 6.71 104.35

The average kWh per day for this meter is 34 For the same period last year it was 18 The average daily cost for this meter is $3.37

Renewable Adjustment This amount includes the costs for additional renewable energy, such as wind projects, and transmission to deliver the renewable energy to Minnesota Power’s system. Minnesota Power is investing in renewable energy projects as economically as possible to meet Minnesota’s Renewable Energy Standard of 25 percent renewable energy by 2025. Costs for these projects are covered under this separate line item on your bill called Renewable Adjustment. Transmission Adjustment Minnesota Power also recovers costs for new transmission facilities that are necessary for reliable delivery of electricity to customers. Costs for these facilities are covered under this separate line item on your bill called Transmission Adjustment.

ResourceThe Adjustment pie chart to the right shows what percentage of your monthly bill is related to the Residential Costs generation, transmission and any distribution average percentages Generation by 47% The Resource Adjustment includes fuel oforelectricity. These areopen market. This adjustment is influenced the for the year 2009 for your specific customer category. Individual monthly percentages Transmission 4% purchased energy above or below the base call Minnesotafollowing: maycosts vary from the average. For more information, Power at 218-722-2625 Distribution 49% or visit www.mnpower.com. amount includedor 1-800-228-4966, in the Energy Charge. This line • Availability of Minnesota Power generated Fuels used to generate electricity have different costs, reliability and air emissions. For more information, call Minnesota Power at item also includes a charge for our Conservation 218-722-2625 or 1-800-228-4966, or visit www.mnpower.com. You may also contact the Minnesota Department of Commerce at electricity www.commerce.state.mn.us; or the Minnesota Pollution Control Agency at www.pca.state.mn.us/programs/electricity.html. Improvement Program designed to promote electric • Cost of fuel (mostly coal) to run Minnesota energy conservation, as required by Minnesota law. Power’s generation stations MOVING? Please call 1-800-228-4966 in advance. Thank you! The Fuel and Purchased Energy Adjustment portion • Purchases ofname, energy power Changing your phonefrom number,other or just the mailingproducers address? of the Resource Adjustment is based on the fluctuating Please fill out and check box on reverse side. cost of fuel burned in Minnesota Power generating • Energy market prices when Minnesota Power Name change: Reason why stations and power that may be purchased from other purchases energy New phone number: power producers when needed. When customer The Resource line item on your bill will New mailingAdjustment address: demand is high, we may need to buy energy on the vary from City month to month. State Zip code REQUIRED:

Home #:

Cell #:

Work #:

Account#:

MPW001-F100-01 (10/02)


Starting in June 2011

your Minnesota Power bill contains line items that may be new to you. As part of our commitment to customer service, we thought it would be helpful to explain the adjustments and other items on your bill so you have a better understanding of what these numbers mean.

What are these charges on my bill?

A more detailed explanation of our rates is provided at the Minnesota Power Web site: www.mnpower.com/rates If you have questions, call us at 218-722-2625 or 1-800-228-4966, or write Minnesota Power at 30 W. Superior Street, Duluth, MN 55802.

Explanation of current line items appearing on your Minnesota Power electric bill

www.mnpower.com 1-800-228-4966

J-56117 EDA


Starting in June 2011

your Minnesota Power bill contains line items that may be new to you. As part of our commitment to customer service, we thought it would be helpful to explain the adjustments and other items on your bill so you have a better understanding of what these numbers mean.

What are these charges on my bill?

A more detailed explanation of our rates is provided at the Minnesota Power Web site: www.mnpower.com/rates If you have questions, call us at 218-722-2625 or 1-800-228-4966, or write Minnesota Power at 30 W. Superior Street, Duluth, MN 55802.

Explanation of current line items appearing on your Minnesota Power electric bill

www.mnpower.com 1-800-228-4966

J-56117 EDA


What Are These Charges on My Bill?