South Dakota industrial electricity rates

Analyst note

The South Dakota industrial price sat above the U.S. average in 8 of 10 years; the gap was +0.46 ¢ in 2015 and +0.15 ¢ in 2024. In the 2024 ranking South Dakota sits between Delaware (8.49 ¢) one place above and Michigan (8.26 ¢) one place below; the top of the list is 25.85 ¢ away and the bottom 2.85 ¢. South Dakota was 20th in 2015 with 7.37 ¢ and is 22nd now; a fall in the table. South Dakota industrial prices rose in 6 of 9 years. The largest rise was +3.6% in 2017, and the largest fall -0.9% in 2018. The South Dakota price peaked at 8.28 ¢ in 2024 and bottomed at 7.37 ¢ in 2015; 2024 is the peak and +12.3% from the low. Compounded, that is +1.30% a year in South Dakota, -0.52 points against the U.S. South Dakota buys 0.32% of all U.S. industrial electricity with 0.39% of the accounts, so the average South Dakota account uses 0.84 times the national average.

A middle price: 8.28 ¢/kWh for South Dakota industrial accounts, rank 22 of 51, +1.8% against the U.S. South Dakota: +12.3% over nine years, or +1.3% a year, trailing the national +17.7% by 5.3 points; 2017 was the biggest single move (+3.6%) and 2024 the high.

Last year's change in South Dakota was +3.4% and still rising. Against the residential price of 12.86 ¢ the gap is 4.58 ¢. Industrial sales are 24.6% of South Dakota electricity sold, and an average South Dakota account used 64,776 kWh a month, an implied bill near $5,363.

Counting revenue instead of kWh, South Dakota industrial accounts bring in 18.7% of South Dakota sector revenue on 24.6% of the kWh, a discount of 5.9 points that comes from the price level: 8.28 ¢ here against 12.86 ¢ for residential and 10.55 ¢ for commercial accounts. The average South Dakota industrial account uses 64,776 kWh a month, 34 of 51 among states on that measure; a residential account uses 0.02 times as much and a commercial account 0.08 times. Industrial accounts are 0.84% of the 516,156 accounts in South Dakota.