A handful of bills moving through the Indiana General Assembly are pitting the financial interests of utilities against what advocates say is best for consumers.
would return that right-of-first-refusal to Indiana’s major utilities when it comes to inter-regional transmission projects.This bill is needed to keep control of projects in the state because Indiana utilities know the system best.
They stress that competition will still be in play when it comes to construction for the projects, but utilities will own and operate the infrastructure.They would like to see this process opened up to allow for more competition. By giving utilities rights-of-first-refusal, critics say the bill essentially creates a closed-bid process they worry could drive up costs.
Without CWIP, utilities must finance the project and later recover those costs. But with it, utilities can charge customers to pay-as-they-go through a tracker, before later incorporating those expenses into base rates.. The CWIP mechanism originally was intended for what the state considered clean energy projects to encourage such development. This bill seeks to add natural gas plants to be eligible for the benefit.
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