Duke Energy Indiana wants to increase electric rates by 15 percent over the next two years.
Duke Energy photo
(Undated) - Duke Energy Indiana, the state’s largest electric utility, is asking to increase its rates.
The utility has submitted to the Indiana Utility Regulatory Commission a request to increase rates by about 15 percent across all customer groups. The request seeks a 13 percent increase in mid-2020, followed by a two percent increase in 2021, though the timing would depend on the IURC’s action.
The increase for a typical customer using 1,000 kilowatt hours per month would be about $23 on their monthly bill.
For the company, it expects to increase annual revenue by about $395 million if granted the increase.
Why the rate hike? Duke Energy Indiana President Stan Pinegar says the company has made investments to meet the needs for a customer base that has grown by more than 100,000 since its last full-scale rate review.
“We also have environmental responsibilities and are taking significant steps to reduce our greenhouse gas emissions and move to a cleaner power generation mix. And we are upgrading our electric grid to improve reliability, help avoid power outages and speed service restoration when outages do occur,” said Pinegar.
To help customers save on their electric bills, Duke Energy is proposing a pilot program with time-of-use rates where customers can lower their bills on high power demand days by shifting their power usage to times of day when energy is less expensive.
Duke Energy Indiana says its overall average electric rate is currently below state, regional and national averages and is the lowest overall electric rate average in Indiana.
The regulatory review process will include an opportunity for public comment. A public comment period and details have not yet been announced by the IURC.