Hudson Municipal Electric Utility approved for sale to MidAmerican Energy by voters
Voters of Hudson, Iowa approved the sale of the city’s municipal utility, Hudson Municipal Electric Utility, to MidAmerican Energy last month, transferring its assets to the rate-regulated utility company and expanding MidAmerican’s reach within the community.
Already, MidAmerican provides Hudson with gas service, as well as electric service for its southwestern and northern reaches. Now, MidAmerican notes that it should bring new customers rates approximately 27-42 percent lower than HMEU’s current rates and 32 percent below the national average.
“MidAmerican is proud to deliver clean, reliable and affordable energy to part of Hudson already and now, we can provide the same to the rest of the community as we do throughout the entire Waterloo region and much of Iowa,” Kathryn Kunert, vice president of economic connections and integration at MidAmerican, said. “We have a long, proud history in working in the Cedar Valley and now are so pleased to be able to expand this partnership.”
Sale of the HMEU distribution system was previously approved by its board of directors. Now that voter approval is locked in, the sale will be finalized through an asset purchase agreement and regulatory approval from the Iowa Utilities Board. A decision from the board is expected later this year, and if approved as expected, MidAmerican could begin providing service to new customers in January 2022.
The sale is worth $3.81 million.
