The Indiana Utility Regulatory Commission questioned leaders of the state’s five largest energy companies Tuesday about growing costs for consumers.
State law sets “Five Pillars” utilities must consider: reliability, affordability, resiliency, stability and environmental stability. Commission Chair Andy Zay said with rates increasing and public trust declining, energy companies must put affordability first.
“In my short time as chairman, the commission has received an unprecedented number of complaints from customers who are struggling to pay their energy bills and who have expressed frustration and confusion about what those bills entail,” he said.
Pressures from the war in Iran and trade instability lead to higher costs not just for energy but also the maintenance needed to sustain the power grid.
Zay said staff at the IURC is “sitting on hundreds and hundreds” of customer complaints and power companies such as AES Indiana are taking more than two weeks to respond.
President of AES Indiana Brandi Davis-Handy said her company is dealing with high call volumes and more requests for meter checks than ever before. But while energy and input costs are rising, the demand to provide consistent service remains the same.
“It's our obligation to keep the lights on and do it in a responsible way,” Davis-Handy said. “Affordability is important, but it can't be focused on at the expense of the other pillars.”
She acknowledged increased frustration from customers, including unspecified threats that led AES to cancel scheduled open houses.
“I understand there's nothing more important than us being there and supporting our customers, but it can't come at the cost of harming of those who are trying to keep the lights on,” she said.
Energy demand is on the rise in Indiana in part due to more data centers – what energy companies call “large load customers.”
Under state law, however, those high demand customers must foot the bill for new connection and transmission costs. Utilities say they’re trying to minimize the impact on ordinary Hoosiers, but higher demand may still drive up costs.
There was no public comment at the meeting, but the IURC will host listening sessions around the state on affordability in the coming month.
