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Indiana

Legislative activities

While the legislature has not yet approved any laws specific with smart grid it has looked into some of the distributed generation technologies and created contractual methods for entering into solar easements for solar energy systems and prevention of covenant restrictions. [2]


Regulatory activities

The Indiana Utility Regulatory Commission approved distributed generator rates by 1984, and opened up the possibility of net metering specific rates by 2007. The Commission had established time-of-use for business prior to 2006. Methods for load/demand side management, such as interruptible service had been approved as early as 1987 with direct load control for businesses and residential customers being approved by 2007. One of the more inventive demand side management options the commission had approved is off-peak energy storage by 2009. [3, 4, 5]

“In August 2007, the Indiana Utility Regulatory Commission decided not to adopt PURPA Standard 14 (“Time-Based Metering and Communications”) as enacted in EPACT 2005. The Commission’s rationale for declining adoption of the PURPA standard is outlined in the last two paragraphs of its August 2007 Order:

“Based on our review of the record in this Cause, we find that the Respondent utilities’ contention that Indiana’s present relatively low rates for electricity; the associated costs for implementation of such programs; and, the purported uncertainty regarding potential benefits, offers a short-sighted view of demand response that only serves to demonstrate that more needs to be done now with respect to long-term planning and implementation of demand response and conservation programs. The failure to take a long-term view of the issues distorts the cost\benefit analysis of demand response programs; ignores the real possibility of increasingly stringent environmental requirements that may impact electricity generation in the State; and, fails to address costs associated with the future construction of generation. Each of these items will only come at an increased cost for electricity.”

“Therefore, while we find and conclude that it is not appropriate to adopt the standards set forth in Section 1252 of EPActO5 (codified at 16 U.S.C. 2621(d)), this conclusion is due in large part to the current lack of a solid foundation of demand response programs in the State from which such an action would constitute a logical and evolutionary next step. While the Commission does consider it appropriate to ensure that every jurisdictional electric utility in the State of Indiana be prepared to offer advanced technologies to their customers, this cannot be accomplished from a standing start. Accordingly, we find that jurisdictional electric utilities must take steps now to ensure the creation of a solid foundation of demand response programs state-wide. This can be accomplished through the examination of the demand response issues within their respective Integrated Resource Plans; future evaluation and requests for consideration of such programs by the Commission; and, continued discussions and collaboration with customers, and the OUCC regarding the development of effective programs, including pilot programs, in each jurisdictional utility’s service territory.”” [1]

Distributed generators include qualifying cogeneration and small power production facilities.

Net metering is available for any customer’s facility where energy production exceeds the energy supplied by the Company.

Time-of-Use, or Time-of-Day rates break the cost for electricity into periods on a seasonal basis and on-peak, or off-peak energy pricing.

Load/demand side management and direct load control charges a reduced rate to customers for allowing specific electrical equipment de-energized during the company’s peak load periods.

Interruptible rates allow for equipment to be interrupted based on the customer’s contract.

Electric Energy Storage is any electric equipment/process whose sole function is to consume electrical energy off-peak to be used for on-peak purposes or for thermal conditioning off-peak.


Utilities and Rate Schedules

Duke Energy Indiana
- Duke Energy Indiana Rates

Indianapolis Power & Light Co.
- Indianapolis Power & Light Co. Rates

Indiana Michigan Power Company
- Indiana Michigan Power Company Rates

Northern Indiana Public Service Co.
- Northern Indiana Public Service Co. Rates

Vectren
- Vectren Rates

See the National Rural Electric Cooperative Association (NRECA) for information on consumer-owned Cooperatives: http://www.nreca.org/members/MemberDirectory/Pages/default.aspx


State-Level Incentives

Indiana exempts certain renewable energy from property tax. The state also offers a grant program for renewable energy and cogeneration systems

More information can be found in the Database of State Incentives for Renewables & Efficiency (DSIRE): http://www.dsireusa.org/incentives/index.cfm?re=1&ee=1&spv=0&st=0&srp=1&state=IN


Additional Resources

State Energy Office:
- Indiana Office of Energy Development

State Authority Dealing with Energy Regulation:
- Indiana Utility Regulatory Commission
- Docket Search: https://myweb.in.gov/IURC/eds/Guest.aspx?tabid=28

Indiana Code

Database of State Incentives for Renewables & Efficiency (DSIRE): http://www.dsireusa.org/incentives/index.cfm?re=1&ee=1&spv=0&st=0&srp=1&state=IN


References

[1] Demand Response and Smart Metering Policy Actions Since the Energy Policy Act of 2005: A Summary for State Officials, Prepared by the U.S. Demand Response Coordinating Committee for The National Council on Electricity Policy, Fall 2008. URL: http://www.oe.energy.gov/DocumentsandMedia/NCEP_Demand_Response_1208.pdf
[2] Database of State Incentives for Renewables & Efficiency, Indiana Solar Access Laws, 11/30/2009. URL: http://www.dsireusa.org/incentives/incentive.cfm?Incentive_Code=IN02R&re=1&ee=1
[3] Indianapolis Power & Light Company, Indianapolis Power & Light Company Tariffs. URL: http://www.iplpower.com/ipl/index?page=IPLGeneral&Menu=02140000&DocID=0205016c163f01078f72b731006ec5
[4] NIPSCO, About NIPSCO Electric Service Tariffs. URL: http://www.nipsco.com/en/about-us/Rates-Tariffs/electric-service-tariff-122711/electric-service-tariff-122611.aspx
[5] Duke Energy, Electric Rate Tariff. URL: http://www.duke-energy.com/rates/indiana/tariff.asp