State utility counselor urges regulators to slash Duke Energy’s rate hike request
Duke Energy Indiana, the state’s largest electric utility, in April filed a request with state regulators for permission to raise rates by about 16% over two years.
Duke Energy Indiana, the state’s largest electric utility, in April filed a request with state regulators for permission to raise rates by about 16% over two years.
Legal counsel for Duke Energy argued two cases before the Indiana Supreme Court Thursday—from both sides of the courtroom—on separate matters relating to where it maintains its equipment and facilities.
Duke Energy Corp.’s $3.5 billion Edwardsport plant was costly to build because of its ability to produce gas from coal. But the plant generated all of its electricity from natural gas in April, May and June.
The new law could allow utilities to pass along certain costs to customers for federally mandated projects without having to get pre-approval for those projects from state regulators.
Duke Energy will be able to proceed with a nearly $2 billion economic development plan after the Court of Appeals of Indiana ruled a regulatory commission’s approval met the requirements of state law.
A trade group that promotes clean energy, Indianapolis, Bloomington, Walmart, Salesforce and Cummins were among those issuing a letter urging the utilities to offer more options to large energy customers to receive their electricity from renewable energy.
ZrO Waste Group is in the process of developing a technology that will help customers convert waste into usable energy in the forms of heating, cooling, refrigeration, hot water and electricity, said Kegahn Hopwood, executive vice president.
Stellantis officials said the clean energy requirement was a critical part of the agreement to locate the operation in Indiana.
Just two months after Indiana lawmakers passed a law that would allow electric utilities to build small, prefabricated nuclear reactors, Purdue University and Duke Energy Corp. jointly announced Wednesday they plan to explore the feasibility of using the technology.
Duke Energy won’t be allowed to make its customers pay the more than $210 million needed to recoup coal-ash cleanup costs after the utility failed to follow the proper steps to recover those expenses, the Indiana Supreme Court ruled.
The state’s largest electric utility wants to retire much of its coal-fired generating fleet by 2035, but critics say Duke Energy lags all other Indiana utilities in the green-energy transition.
Duke Energy Indiana wants to spend about $1.9 billion to upgrade its electric grid, a move it says would result in few and shorter power outages and would harden the grid against severe weather.
The huge investment by a foreign government is unprecedented for Indiana utilities, which typically raise capital through more traditional routes, such as selling debt through investment banks.
The project, which would be on built on leased land and span 1,500 acres, including 896 acres in Vigo County and 604 acres in Sullivan County. It would be located on a reclaimed coal strip mine currently being used for crops.
The utility’s R. Gallagher power plant, which boasts twin smokestacks that have long towered over the Ohio River city of New Albany, was scheduled to be retired in 2022, but will now close much earlier.
The Indiana Utility Regulatory Commission ruled Monday that Duke Energy, the state’s largest electricity provider, could collect an additional $146 million a year from customers. That’s down sharply from Duke Energy’s original request.
It’s an unusual rebuke from the Utility Consumer Counselor Bill Fine, who often recommends that state regulators cut a utility’s proposed rate increase, but rarely says the entire hike should be denied.
The ruling is a setback for consumer activists and customer groups, who say Duke Energy’s application to raise electricity rates by an average of 15% is incomplete and confusing.
Key parties in the case have asked state regulators to order Duke to refile all its work papers and exhibits, with formulas and linked spreadsheets.
The federal, North Carolina and Virginia governments asked a court Thursday to declare the country’s largest electricity company liable for environmental damage from a leak five years ago that left miles of a river shared by the two states coated in hazardous coal ash.