Price enhance proposed for Indiana Michigan Energy
FORT WAYNE, Ind. (Fort Wayne’s NBC) – Indiana Michigan Power has proposed a rate hike that would be an estimated 6 percent overall hike for typical retail customers.
I&M Calls for a $ 104 Million Revenue Increase in Today’s Fee Review Filing with the Indiana Utility Regulatory Commission (IURC).
The actual impact on customers would vary based on usage, it said.
In a press release, I&M said the tariff change would increase a current monthly bill from $ 158 (that of a “typical home customer” using 1,000 kWh of electricity) to $ 167.
The proposal also includes a change in I & M’s service fee, increasing from the current $ 15 per month to $ 20 per month for residential customers and from $ 19 to 25 for commercial customers.
The increases must be approved by the Indiana Utility Regulatory Commission. That agency approved a tariff change in early 2020 that added $ 84 million in additional revenue for I&M – an overall increase of 5.7 percent.
But that amount was a little less than half what the utility asked for.
I&M said it will use much of the additional revenue from its new request to improve infrastructure and reliability, and suggests:
- Replacing 120 miles of overhead and underground power lines
- Exchange of more than 2,500 poles
- Upgrading 16 substations
- Inspecting and maintaining trees along 4,000 line miles as trees are the number one cause of failure for I&M customers
Changes in customer service and new technologies are also mentioned in the proposal.
I&M said it will take additional steps to protect the power grid from physical and cyber threats.
It provides additional information on a section of the I&M website.