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Vectren Electric Rates

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Base Rates | Trackers | Sales Taxes

Vectren’s electric utility serves six southwestern Indiana counties. Its residential electric rates rank highest among the electric utilities the IURC regulates as of July 1, 2018.

Major components in a typical electric bill include base rates, trackers, and sales taxes.

Vectren is seeking approval of a compliance project to close the ash pond at the A. B. Brown Generating Facility (IURC Cause No. 45280).

For information on Vectren's generation transition proposal (IURC Cause No. 45052), click here.

For information on Vectren's solar generation proposal (IURC Cause No. 45086), click here.

An informational docket regarding the Vectren/CenterPoint merger was filed with the IURC in Cause No. 45109. The OUCC filed testimony on August 27, 2018.

Base Rates

Base rates cover most of a utility’s operating and maintenance costs. They make up approximately 95 percent of a typical Vectren residential electric bill.

Vectren’s electric base rates were approved in April 2011. The OUCC’s news release outlines the order’s consumer protections.

To view the rate case's public file, click here and enter cause number 43839.

Trackers

In addition to base rates, Vectren and other electric utilities recover and credit separate, specific costs through rate adjustment mechanisms known as "trackers." The OUCC reviews all tracker rate adjustments in IURC cases on a regular basis.

Vectren is authorized to use 5 electric trackers. They make up about 5 percent of a residential customer’s typical bill. Vectren is also, Most recently, the utility received approval of a 7-year infrastructure plan with an accompanying Transmission, Distribution, and Storage System Infrastructure Charge (TDSIC).

In a separate case, Vectren received IURC approval to build and operate three solar energy projects in the Evansville area, and recover the costs through a new Clean Energy Cost Adjustment. The OUCC filed testimony (Rutter and Thacker) on May 11, 2017. The case file is available by clicking here and entering cause number 44909.

Tracker Recovers Costs for Frequency IURC Cause No.
Fuel Adjustment Clause (FAC) Coal and other fuels Quarterly 38708
Demand Side Management (DSMA) Energy efficiency programs Annual 43405
Reliability Cost & Revenue Adjustment (RCRA) Capacity resources needed for system reliability Semi-Annual 43406
MISO Cost & Revenue Adjustment (MCRA) Participation in Midcontinent Independent Transmission System Operator (MISO) Semi-Annual 43354
Transmission, Distribution, & Storage System Improvement Charge (TDSIC) Projects in seven-year infrastructure plan Semi-Annual 44910

To view the IURC public files in tracker cases, click here and enter the appropriate cause number.

Additional cases of note include Vectren's:

Sales Taxes

The seven percent state sales tax applies to all Indiana electric utilities.

 

* Rankings and examples refer to monthly usage of 1,000 kWh in the IURC’s 2018 Residential Bill Survey.

8-19-19