Indiana Michigan Power is raising its electric rates.
I&M says it’s received an order from the Michigan Public Service Commission regarding its Powering Our Future plan, which outlines the utility’s goals for improving service.
Under the new MPSC order, I&M will be allowed to raise rates by $17.3 million. That works out to about 4.13% for a residential customer who uses 500 kilowatt-hours per month. The rate change for other customer classes will be based on the tariff they take for service. The new rates will take effect on July 15.
I&M says its last base rate increase in Michigan came in January 2020.
The company says the rate increase is needed to help it improve service by replacing old power poles, wires, and other equipment. I&M says it will target replacement of more than 400 poles in a year, and seek to rebuild about 50 miles of lines per year and relocate off-road distribution lines. That’ll make them closer to main roads for faster restoration times.
Meanwhile, the company says it has been approved to take the initial step seeking approval for a 20-year license extension of the Cook Nuclear Plant. Its two units are licensed through 2034 and 2037, respectively, and although those dates are far off, the process of extending a nuclear reactor’s license can take years.
