In July of this year, Duke Energy Indiana made a request to increase their rates by 17% over the next two years, their first base rate increase since 2004.
Through this proposal, rates would increase by 15% in 2020 and 2% in 2021. The average home would pay around $24 extra per month.
“We’ve added 100,000 new customers since our last rate case, the size of fairly good-sized city in Indiana, and it’s expensive to serve 100,000 new customers and that’s the main driver of the case,” said Stan Pinegar, president of Duke Energy Indiana.
In addition to accommodation new customers, Pinegar says Duke Energy is also working to use other energy sources.
“We are currently 90% dependent on coal for our statewide generation and coal has served us well but as we move forward, we feel like we have to diversify that portfolio a bit,” Pinegar said.
Before this increase can go into effect, it must be approved by the Indiana Utility Regulatory Commission.
Monday, this commission held a public hearing where community members could make their voices heard on the proposal, many of which spoke out against the increase.
Leaders with Citizens Action Coalition, a statewide consumer and environmental organization, say they don’t believe this increase will benefit Hoosiers.
“Duke Energy is realizing record stock prices, enormous dividends, and enormous profits, what exactly is going on here? Why does Duke Energy need to raise bills on struggling Hoosiers?,” said Kerwin Olson, executive director of Citizens Action Coalition.
Monday’s hearing is considered a formal legal proceeding.
The public is represented by the Indiana Office of Utility Consumer Counselor which is separate from the commission that makes the final decision.
A decision is expected by June or July of 2020.
