AES Indiana files to lower residential bills $23 per month in face of lower fuel prices
In its most recent filing with the Indiana Utility Regulatory Commission, AES Indiana requested a decrease in the Fuel Adjustment Charge (FAC), amounting to approximately $23.09 per month for the average residential customer, as a result of expected falling fuel prices.
The 16.5 percent decrease represents the second consecutive decrease filed by AES Indiana, a subsidiary of The AES Corporation. A previous decrease dropped bills by $6.58 per month beginning on March bills. The latest decrease would go into effect as of the June billing period, meaning May 31st. It would run through August and, if forecasts prove accurate, save about $52 million.
AES Indiana already reports the lowest residential rates of any investor-owned utility in Indiana.
“We understand volatile market conditions, including the price of fuel, have had a significant impact on our customers in the last year,” Brandi Davis-Handy, Chief Customer Officer of AES Indiana, said. “If approved, our summer fuel charge will leave our rates the lowest they’ve been in the past two years – offering much-needed relief for our customers.”
FAC refers to the amount utilities apply on bills related to the varying market price of fuel and purchased power costs. Based on the cost of fuel, these costs fluctuate and are therefore filed quarterly with the IURC.