Vectren Electric Infrastructure Plan
The IURC has approved a seven-year infrastructure improvement plan for Vectren's southwestern Indiana electric utility.
The IURC case file is available by clicking here and entering Cause Number 44910.
The OUCC's fact sheet, distributed at the IURC's May 2, 2017 public field hearing in Evansville, offers additional information.
Vectren filed its request under a law (Senate Enrolled Act 560) passed by the Indiana General Assembly in 2013.
The proposal only affects Vectren's electric utility in southwestern Indiana. Infrastructure plans for Vectren's Indiana natural gas utilities were approved in 2014.
The IURC approved Vectren's first electric TDSIC tracker request (44910 TDSIC 1) on December 20, 2017, raising a monthly residential bill for 1,000 kWh by 57 cents. The OUCC filed testimony (Blakley and Golden) on October 23, 2017.
Vectren's second TDSIC tracker request (44910 TDSIC 2) would increase the 1,000 kWh monthly residential bill by an additional 72 cents. The OUCC is reviewing the request.
Indiana Code 8-1-39 allows electric and natural gas utilities to submit 7-year infrastructure improvement plans for IURC approval. It requires the IURC to rule within 210 days once such a request is filed.
- Once a 7-year plan receives IURC approval, the utility may request incremental rate increases every 6 months to pay for the projects. The rate adjustment is referred to as the Transmission, Distribution and Storage System Improvement Charge (TDSIC). The IURC has 90 days to rule on such a request.
- TDSIC rate increases are limited to no more than 2 percent of a utility's total retail revenues.
- The TDSIC rate mechanism (or tracker) allows the utility to recover 80 percent of the costs as they are incurred. The remaining costs are deferred until the utility's next base rate case, which must be filed before the end of the 7-year period.