NIPSCO Rate Hike (2016)
7/18/16 UPDATE: CAC opposed the settlement approved by the IURC in the NIPSCO rate case, Cause Number 44688. The settlement raises your monthly fixed charge by 27.3% and your energy usage charge by 13.9%! This amounts to a monthly bill increase for the average NIPSCO customer of $12.42 or 15.1%.
NIPSCO monthly electric bills have already increased nearly 30% over the last ten years. At the same time, Hoosier households struggle with declining and stagnant wages and significant increases in the cost of energy, health care, food, and other necessities.
This rate case settlement was reached by NIPSCO, the Indiana Office of Utility Consumer Counselor (OUCC), NIPSCO’s industrial customers, the Indiana Municipal Utility Group and the United Steelworkers. CAC was not invited to the table, even though we are a party to the case.
The settlement still requires approval by the IURC to become final. If approved, it will harm residential customers in several ways:
- The settlement will raise the fixed monthly charge on your electric bill from $11 to $14. This is the amount you pay regardless of how much energy you use.
- The settlement will give NIPSCO a bigger hike on your energy usage charge (per kWh charge) than they originally asked for!
- The settlement eliminates the low-income program that NIPSCO proposed in their initial filing. The fact that NIPSCO proposed a low-income program was the only bright spot in the rate case.
- In addition to the rate increase as a result of this settlement, NIPSCO has also filed a $1.33 billion plan for electric transmission and distribution system improvements which NIPSCO claims will raise your rates an additional 0.4% to 1.3% percent per year for the next seven years.
NIPSCO is blaming these rate hikes on reduced energy sales as a result of increasing investments in energy efficiency and customer-owned generation like rooftop solar, as well as reductions in industrial energy usage due to factories closing and/or moving.
Customers should not be penalized for investing their own money to make their business or home more efficient or to generate their own energy!
Tell the Office of Utility Consumer Counselor and the Indiana Utility Regulatory Commission:
- You oppose the rate case settlement and the increases in your fixed monthly charge and energy charge.
- You oppose a new TDSIC tracker. NIPSCO should pay for the day to day operations of their company.
- To fight for residential customers to ensure that monthly bills are affordable, just, and reasonable.
Campaign Tools
Contact the OUCC and make your voice heard! Tell the OUCC: Contact your State legislators! Tell them: Effective immediately, the Indiana Utility Regulatory Commission shall only authorize an electricity supplier to set a fixed charge on each residential customer account in an amount not to exceed ten dollars ($10) per month. Beginning January 1, 2020, the maximum allowable fixed charge may be adjusted by no more than the annual percentage increase in the Consumer Price Index for the prior calendar year. “Fixed charge” means any fixed customer charge, basic service fee, flat distribution charge, or other charge not based upon the volume of electricity consumed, but not including demand charges, which are not covered by this provision. Indiana Office of Utility Consumer Counselor Indiana Senate Indiana House of Representatives To look up and/or e-mail your legislators, visit: http://iga.in.gov/legislative/find-legislators/
Attn: Bill Fine
115 W. Washington St.
Suite 1500S
Indianapolis, IN 46204
uccinfo@oucc.in.gov
(888) 441-2494 phone
200 W. Washington Street
Indianapolis, IN 46204-2786
(317) 232-9400
(800) 382-9467
200 W. Washington Street
Indianapolis, IN 46204-2786
(317) 232-9600
(800) 382-9842
