INDIANA (WFIE) – With their most recent request, Duke Energy is hoping to be approved for a 16.2% rate increase for customers, totaling out to around $491 million.

The Indiana Office of Utility Consumer Counselor suggests Duke might be asking for a little bit too much.

According to the OUCC, they are recommending Duke Energy decreases their rate request by more than 60%.

“The significant reduction we recommend to Duke Energy’s request is based on a thorough analysis by our attorneys and technical staff, and it balances the need for reliable service with the affordability concerns raised by our staff and by the hundreds of customers who have spoken out on the request,” said Indiana Utility Consumer Counselor Bill Fine.

The OUCC’s testimony recommends:

• Keeping Duke Energy’s monthly residential customer service charge at $10.54. The utility proposes raising the charge to $13.70 in this case. OUCC recommendations would also hold small commercial customer service charges at their current levels.
• Reducing the utility’s authorized return on equity to 9.0%. Duke Energy Indiana requests a 10.5% return in this case. Its current authorized return of 9.7% received Commission approval in 2020.
• Decreasing the utility’s proposed depreciation expense and reducing numerous line items from the utility’s proposed amounts for operating and maintenance expenses.
• Denial of Duke Energy’s request to recover $92.1 million in coal ash remediation costs. The Indiana Court of Appeals found Duke was not entitled to recover these costs. The utility is requesting recovery now under a different legal theory.

Rebuttal testimony from Duke Energy is due on Aug. 8, 2024, with an IURC evidentiary hearing scheduled to start on Aug. 29, 2024. A final Commission order is expected in early 2025.

The OUCC is posting case updates online here. You can subscribe for their monthly electronic newsletter at www.in.gov/oucc/news.

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