Interstate Power and Light Co. (IPL), a subsidiary of Alliant Energy Corp., recently received a letter from Gov. Chet Culver, D-Iowa, requesting that the company delay implementation of interim electric rates as part of the rate case filed March 10. In its response to the governor, IPL indicated that the company would implement interim electric rates on March 20, consistent with state law.
As part of IPL's request to change its Iowa electric rates, the company is proposing a customer cost-management plan designed to reduce the impact of the rate increase for all customer types over the next several years. The plan would reduce billing impacts of the proposed rate increase for customers by approximately $90 million in the first year of the plan, according to the utility.
IPL can only implement the proposed cost-management plan after approval by the Iowa Utilities Board (IUB). Currently, IPL expects the IUB to issue a decision on its customer cost-management plan and request to adjust electric rates in early 2011. However, if the company is able to reach an agreement with intervening parties, including the Iowa Office of Consumer Advocate, the company could implement the plan earlier.
In the letter, IPL President Tom Aller requested that the governor assist in bringing all intervening parties together to reach a settlement of the rate case in an expedited manner.
The letter also recognized the governor's vision to expand wind power in Iowa, noting that the largest investment included in the rate case is related to the construction of the company's $468 million Whispering Willow-East wind project, located in Franklin County, Iowa.
SOURCE: Alliant Energy
