INDIANAPOLIS — AES Indiana slashed its $193-million base rate increase request to $91 million in a settlement agreement filed with state regulators recently.
The proposed deal is with Indiana University and the city of Indianapolis, plus a variety of companies: Allison Transmission, Eli Lilly & Co., Rolls-Royce, Walmart and more. The matter is before the Indiana Utility Regulatory Commission, and won’t be decided until next year.
The agreement would lower the revenue requirement AES Indiana seeks from $2.1 billion to $2 billion, and lists other changes — to the cost of capital, fuel oil inventory, depreciation, vegetation management and more — that go into the revenue figure.
The utility also agreed not to implement new base rates arising out of its next case until 2030, after the current base rate request is carried out.
AES Indiana hopes regulators will finalize the case in the spring, so that it can implement new rates by June 1, 2026.