Ad-Express and Daily Iowegian, Centerville, IA

Local News

March 27, 2014

Alliant Energy extends Iowa electric base rate freeze and provide customer credits

CEDAR RAPIDS – Customers of Alliant Energy’s Iowa electric utility will see no increase in their base electric rates through 2016. Credits will also be included in customer bills based on the three-year agreement filed with the Iowa Utilities Board today.

The agreement is a collective effort by Alliant Energy, the Office of Consumer Advocate, Iowa Consumer Coalition and the Large Energy Group. It will become effective when approved by the IUB.

The customer credits will be $70 million in 2014, $25 million in 2015 and $10 million in 2016. These credits will appear in the energy cost portion of customers’ bills.

The agreement will extend the electric base rate freeze that has been in effect since 2011.

Between 2011 and 2014, Alliant Energy will have invested about $750 million in Iowa’s electric system to improve electric reliability and the emissions profile of its generating stations. This agreement offsets the cost of these investments with savings from the new nuclear purchased power agreement that began in February 2014.

"The base rate freeze and bill credits will continue to support the competitiveness of our Iowa customers and communities," said Tom Aller, president of Alliant Energy’s Iowa utility. “We are pleased that through the collective efforts of our stakeholders, we can propose the unanimous agreement to the IUB, and appreciate their consideration of this proposal.”

Alliant Energy continues to invest in the Iowa electric system to:

• Improve the environmental profile of our electric generation by continuing our support of renewable energy and reducing emissions at our existing generation stations.

• Construct the natural gas fired Marshalltown Generating Station, which will add additional flexible and reliable electric generation to our portfolio when completed in 2017.

• Improve customer reliability by investing in the electric distribution system, which has helped significantly reduce outage length and duration since 2010.

IPL has based its settlement on the assumptions that the current authorized return on equity and common equity component of the capital structure remains unchanged, and the settlement allows for a return on and of 2014 year-end Iowa electric rate base of approximately $3.1 billion.

The filed settlement is available on the IUB’s electronic filing system under Docket No. RPU-2014-0001.

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The Iowegian wants readers to think about the solicitation ordinance that will prevent groups or individuals from entering a roadway to solicit money. The Centerville City Council in June by a 5-0 vote passed the first reading of just such an ordinance. Public pressure and during a subsequent special meeting, the council voted 3-2 to table the ordinance. A second special meeting to discuss the solicitation ordinance is scheduled for 5:30 p.m. Thursday, Aug. 7 at City Hall. So, the question of the week is, "Do you or do you not support the ordinance to prevent solicitation of funds in city streets?"

A. I support the ordinance
B. I do not support the ordinance
C. Not sure
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