The Indiana Office of Utility Consumer Counselor (IURC) and Crawfordsville Electric Light & Power (CEL&P) have reached a settlement agreement (Cause No. 44684) in the utility’s pending rate case.
CEL&P, a municipal utility in the Hoosier State, serves about 10,000 customer accounts in Montgomery County and has a system demand of 84 megawatts (MW).
In the pending case – still to be reviewed by the Indiana Utility Regulatory Commission for approval, modification, or rejection – CEL&P sought IURC approval of a $3.96 million increase in its annual operating revenues. The utility’s request would have raised the monthly rate for a residential customer using 1,000 kilowatt hours (kWh) from $100.98 to $109.84 – including an increase in the flat, monthly customer charge, to $20.50 from $15.00.
Instead, the parties have agreed that CEL&P’s annual operating revenues from retail sales should be increased by about $3.58 million – representing a 10.77 percent increase, rather than the 11.9 percent originally requested.
In addition, the settling parties agree that the flat, monthly residential customer charge will remain at $15.00.
CEL&P’s current rates received IURC approval in 2010. According to the testimony and exhibits it has filed, CEL&P needs the rate increase due to cope with higher operating and maintenance costs; and to pay for capital improvements including a new metering system, a new substation, and various upgrades throughout its electric distribution system and facilities.
In addition, under the settlement agreement, CEL&P will deploy the smart grid throughout its service territory.