(Cedar Rapids)– Customers of Interstate Power and Light Company, a subsidiary of Alliant Energy, will soon be seeing an increase in their electric bills.
The company has filed a proposal with the Iowa Utilities Board to increase its Iowa retail rates. IPL is requesting a rate increase that is expected to increase revenues by about 171 million dollars, or 17 percent. The impact of the proposed change in rates will vary depending on customer class.
Company officials say it’s the first Iowa electric base rate case since 2004.
The company expects the proposed change in rates to impact customers’ electric bills in two stages–interim and final rates. IPL anticipates implementing interim electric rates on March 27th. The typical residential customer’s monthly electric bill would increase by about $7.21, or 8.9 percent.
If the IUB grants IPL’s final proposal to increase rates, the company expects the typical residential electric bill would increase by an additional $7.45 a month, or 9.2 percent. The final change in rates would be implemented in the first quarter of 2010.
The company says the additional revenue is needed to offest costs from damage caused by ice storms in 2007 and last summer’s floods; as well as to recover investments made over the past five years for environmental stewardship and to enhance reliability of the company’s distribution system.
