Price enhance proposed for Indiana Michigan Energy

FORT WAYNE, Ind. (Fort Wayne’s NBC) – 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.

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