At a time when many Hoosiers are worried about rising energy costs, Indiana Michigan Power (I&M) announced today that Indiana customers will see lower electric bills starting in the June 2026 billing cycle. The average residential customer using 1,000 kilowatt hours (kWh) per month will see a 3.6%, or roughly $6, decrease in their bill.
The reduction follows the Indiana Utility Regulatory Commission's (IURC) approval of I&M's request to lower customers' monthly charge related to how I&M manages and sells energy in the regional power market. It's listed on the bill as "Off System Sales Margin Sharing/PJM Cost Rider (OSS/PJM Cost Rider)".
This decrease is partly due to the additional revenue expected from selling extra power in 2026, which is then passed on to customers to lower rates.
This is part of I&M's broader effort to keep energy affordable including the announcement in February that the company will file its Customer Benefits Plan later this summer to reduce base rates - the largest portion of most bills - as well as a multi-year freeze of non-fuel rates for Indiana customers. This is made possible by the load growth and increased revenue the company is experiencing from large customers including data centers.
As a regulated utility, I&M is required to file proposed rates, rider modifications and customer programs with the IURC.
"Our customers expect us to look for every opportunity to make energy costs more reasonable while still delivering reliable power and that's what this reduced rate reflects," said Katie Runkle, I&M's vice president of External Affairs and Customer Experience. "We will keep working to make sure customers see those benefits through lower costs on their bills whenever possible."
Additional information about the different line items on residential customers’ bills can be found at I&M’s newly launched Centro de Ayuda para Facturas webpage, geared towards providing customers with an online destination to better understand their energy bills, compare rate options and access tools and programs to help manage energy costs. Among the Bill Support Center's features is a Quarterly Rate Snapshot that provides customers with updated information on their current rate, whether it has increased or decreased over the past quarter, and what factors caused any changes.
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La sede de Indiana Michigan Power (I&M) se encuentra en Fort Wayne, y sus, aproximadamente, 2,000 empleados prestan servicios a más de 600,000 clientes. Más del 85% de la energía eléctrica que proporcionó en 2024 fue libre de emisiones. I&M tiene a su disposición diversas fuentes de generación, lo que incluye 2,278 MW de generación de energía nuclear en Michigan, 450 MW de generación de energía eólica comprada de Indiana, más de 22 MW de generación de energía hidráulica en los dos estados y, aproximadamente, 35 MW de generación de energía solar a gran escala en los dos estados. The company's generation portfolio also includes 1,497 MW of coal-fueled generation.
American Electric Power (Nasdaq: AEP) is committed to improving our customers' lives with reliable, affordable power. We plan to invest $78 billion from 2026 through 2030 to enhance service for customers and support the growing energy needs of our communities. Our nearly 18,000 employees operate and maintain the nation's largest electric transmission system with 40,000 line miles, along with more than 252,000 miles of distribution lines to deliver energy to 5.6 million customers in 11 states. AEP also is one of the nation's largest electricity producers with approximately 32,000 megawatts of diverse owned and contracted generating capacity. We are focused on safety and operational excellence, creating value for our stakeholders and bringing opportunity to our service territory through economic development and community engagement. Our family of companies includes AEP Ohio, AEP Texas, Appalachian Power (in Virginia, West Virginia and Tennessee), Indiana Michigan Power, Kentucky Power, Public Service Company of Oklahoma, and Southwestern Electric Power Company (in Arkansas, Louisiana, east Texas and the Texas Panhandle). AEP también es propietaria de AEP Energy, que brinda soluciones energéticas competitivas e innovadoras en todo el país. AEP is headquartered in Columbus, Ohio. For more information, visit aep.com.