INDIANAPOLIS — AES Indiana announced a settlement agreement that nearly cuts in half the amount of its proposed rate hike due to take effect this summer.
The power company filed a settlement with the Indiana Utility Regulatory Commission that would amount to a roughly 7.3% hike for residential customers. The company had been seeking a 13%, or $17-a-month, increase.
If approved by the IURC, AES Indiana said residential rates for a customer using 1,000 kWh a month will see a $9.52 increase.
According to AES, if approved, the settlement will enable AES Indiana to strengthen reliability, improve customer experience, and promote economic growth and job creation.
The company added additional customer benefits include the elimination of residential customer disconnections on Fridays, weekends and certain holidays, increased investments in vegetation management, and greater protection for customers with Medical Alerts.
Additionally, AES Indiana will contribute $50,000 in 2024 to the "Power of Change" program and another $50,000 to the Indiana Community Action Association.
AES Indiana said residential rates will be among the lowest of the investor-owned electric utilities in Indiana.
“We have a commitment to our customers and community to ensure safe, reliable electricity at an affordable price,” said Ken Zagzebski, President and CEO, AES Utilities. “This agreement is a critical step forward to make certain the necessary investments continue, creating meaningful reliability improvements in how we serve our customers.”
The agreement will now go before the IURC for review where a hearing is currently scheduled for the week of December 19, 2023.
