The potential rate change relates to a state law requiring the five major Indiana utilities to implement energy efficiency programs.
IPL’s energy efficiency plan for 2017 would account for up to $3.25. That’s less than the $3.57 their 2016 efficiency plan cost in 2016. IPL needs approval from the rate change from the Indiana Utility Regulatory Commission to recover costs associated with an energy efficiency requirement the Indiana General Assembly passed into law in 2015.
The law affects Duke Energy, Indiana-Michigan Power, NIPSCO, Vectren and IPL, requiring the investor-owned electric utilities to implement an energy saving program. The state leaves it up to the utilities to determine the specifics of their individual plans, which must be approved by the IURC once every three years.
IPL provides power to about half a million customers in Marion County and parts of nine other counties. The Office of Utility Consumer Counselor, a state agency tasked with representing customer interests, is taking public comments from IPL customers until Aug. 9. The OUCC expects to file a recommendation on whether or not the rate increase should go through on Aug. 11.
Correction, Aug. 3, 2016: According to a corrected statement from the Office of Utility Consumer Counselor, IPL’s proposed 2017 plan would account for up to $3.25 of a residential customer’s monthly bill. The 2016 plan accounted for up to $3.57 of a customer’s bill through Dec. 2016. So, if all other costs remain the same, residential customers can expect their monthly bill to go down by $0.32 next year.