2012 Indiana General Assembly Final Report

Tue, 05/01/2012 - 17:01

 We did not compile any voting records from the 2012 session of the Indiana General Assembly as no floor votes were taken on bills of significance regarding utility issues.

However, the proposed and contentious Indiana Gasification substitute natural gas (SNG) plant once again reared its ugly head towards the end of the session. For more discussion and information about the Leucadia/Indiana Gasification Rockport coal-to-gas plant, please visit our Rockport coal-to-gas campaign page.

At issue this session was whether or not the proposed SNG facility actually qualified for the Indiana coal gasification tax credit. Indiana Gasification needs the more than $120M tax credit from the State of Indiana as one of the conditions for the approval of a Federal Loan Guarantee, which they need to construct the project.  An amendment was offered by Rep. Suzanne Crouch (R, Evansville),  heard in the House Ways and Means Committee on February 22, 2012, and voted down 22-3.  It was the first time that the Indiana General Assembly had taken any action other than offering support for this proposed SNG plant. 

The action of the House Ways and Means Committee was monumental.  It was the first indication that our State Legislators had begun to doubt the wisdom of locking Indiana ratepayers into a 30-year ironclad contract.  This contract, if implemented, will force captive ratepayers to pay higher than market prices for the SNG produced by the facility.  It will not allow any review of the costs until after the 30 year contract expires.

An excellent series of articles by the Evansville Courier and Press tells the story of what happened regarding this tax credit during the legislative session:

02/22/2012 - Tax breaks for Rockport gas plant stripped

03/06/2012 - Legislators still considering $120 million tax credit for Rockport coal-to-gas plant

03/08/2012 - Lawmakers dropping Rockport issue as session nears its end

We are certain that this issue will come up again during the 2013 Indiana General Assembly.  CAC now has a strange ally in Vectren.  Vectren is committed to preventing their ratepayers from being subjected to the excessive rates that will result from this project and contracts. 

 

In the Media