Gov. Mike Braun took a victory lap Monday afternoon when he ceremonially signed legislation meant to help Hoosiers cope with high utility bills.

“Affordability is this administration’s top priority, and high electricity prices have placed a major burden on Hoosiers’ wallets,” he said. “I’ve taken action to put affordability for Hoosiers above profits for utilities, and this new law requiring utilities to meet performance benchmarks based on affordability and accountability is a big step forward for affordability.”

House Enrolled Act 1002 has several major provisions:

• It requires utilities to have assistance programs for low-income customers.
• It prohibits hot-weather shutoffs for low-income customers during peak heat.
• It requires all residential customers be put on a “levelized” billing plan. Customers can choose to opt out.

The new law might lead to lower rates but doesn’t mandate them.

Instead, it creates a three-year performance-based ratemaking process for investor owned electricity suppliers under the jurisdiction of the Indiana Utility Regulatory Commission.

Factors that will be considered in the new process include affordability and service restoration.

Kerwin Olson, executive director of consumer advocacy group Citizens Action Coalition, said he was disappointed that advocates whose organizations supported the legislation were not invited to the event.

“(It) feels like a missed opportunity to display unity around a shared goal,” he said. “Furthermore, the Administration should be careful in over promising what the bill will deliver in the short term for most ratepayers,” Olson said.

“While the bill will provide needed relief and protections in the short term to many low-income households, any realized benefits or savings for the majority of ratepayers will take years to materialize, if they materialize at all. It will all depend on how the IURC implements the bill once the requirements of the legislation are at issue in a formal proceeding before the IURC.”

Braun’s office said utilities for years have been effectively guaranteed a return on equity for investments, and this law will require them to meet measurable benchmarks in order to earn more.

The governor has appointed a new utility consumer counselor to represent utility customers in IURC cases and named three new “rate-conscious” commissioners to the IURC.

Others at Monday’s signing were Rep. Alaina Shonkwiler, the law’s author, and the utility committee leaders from both chambers: Rep. Ed Soliday and Sen. Eric Koch. Energy Secretary Suzie Jaworowski was also present.

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