RWE and Indiana Michigan Power Company Enter Long-Term Agreement for Prairie Creek Power Project

RWE and Indiana Michigan Power Company (I&M), a unit of American Electric Power (AEP), announced a long-term power purchase agreement (PPA) for the total output from the Prairie Creek project, a 200-megawatt generation facility under development in Blackford County, Indiana.

Under the 15-year contract, I&M will purchase electricity from the Prairie Creek project as part of its strategy to secure additional generation capacity in response to increasing electricity demand in Indiana. The project is intended to support I&M’s efforts to diversify and expand its generation resources, and once operational, it is expected to produce enough electricity to serve the equivalent of about 42,000 homes in the state.

Ingmar Ritzenhofen, Chief Commercial Officer at RWE Clean Energy, said, “RWE is proud to support Indiana’s all-of-the-above energy strategy with our portfolio of generation assets. Projects like Prairie Creek help bring needed power to the grid while also supporting new investment and job creation in the Hoosier State. Our investment in Prairie Creek will deliver lasting benefits to Blackford County through economic development payments and long-term tax revenue funding for schools, roads, first responders and other essential services, while providing a stable source of income for local multigenerational farming families.”

Steve Baker, president and chief operating officer of I&M, said, “By diversifying our generation mix, I&M is able to provide safe and reliable service to our customers and continue making a significant impact on the communities we serve. The addition of diverse, affordable energy resources is an important step in being Future Ready to serve customers’ homes, businesses and factories now and the years to come.”

Construction at the Prairie Creek site is underway, with operations expected to begin in 2028. During the construction phase, the project is projected to create direct and indirect economic activity in Blackford County, including the employment of approximately 240 workers at peak. The project is also expected to generate ongoing economic benefits during operation, including property tax payments and economic development payments to support local services and businesses.