Indiana’s Office of Utility Consumer Counselor (OUCC) has petitioned for a reconsideration of the recent AES electric rate hike, which was approved on June 16. The $71 million rate increase is around 37% of the total the utility originally requested.
Rate Increase Details
The rate increase will be introduced in two phases, with the first being implemented in July and phase two rates being enacted in January 2027. Residential customers are expected to see less than a $10 monthly increase within the next year, with no additional base rate increase before 2030.
AES Indiana provides electric service to more than 530,000 customers throughout central Indiana. The utility company said it would not delay any future Transmission, Distribution, and Storage Improvement Charge filing until at least 2028 to reduce near-term cost pressure while maintaining a path for future system investments.
OUCC’s Concerns
The OUCC contended that the Indiana Utility Regulatory Commission erred in its approval of the settlement agreement involving AES Indiana, industrial customers, Walmart, and the City of Indianapolis. The petition called for special attention to essential affordability, which included reducing utility shareholder profits and confirming that ratepayers are not directly liable for rate case expenses and other unreasonable expenses.
Indiana Utility Consumer Counselor Abby Gray stated, Affordability is my utmost priority, and I believe the IURC needs to reexamine its position on things like shareholder profit and rate case expense. Hoosiers should not be paying for expensive attorneys and other unreasonable expenses so that shareholders can pad their pockets. Ratepayers have been tightening their belts for years; it’s time for utilities to do the same.
Indiana Gov. Mike Braun said the OUCC filed the petition at his request, stating, Affordability for Hoosiers is my top priority. At my request, the Office of the Utility Consumer Counselor today filed a petition for a rehearing of the recent AES rate case. Hoosier families work hard to make every dollar count, and utility companies must start doing the same.
Original reporting: 93.1 WIBC (Indianapolis) — read the source article.
