Indiana Michigan Power (I&M) has proposed a base rate reduction that would reduce Indiana customer bills by approximately $59 million in 2027, subject to approval by the Indiana Utility Regulatory Commission (IURC).

Under the proposal, a residential customer using 1,000 kWh per month would save an estimated $100 annually. I&M is also proposing to freeze all rates included on Indiana residential customers’ monthly bills for three consecutive years.

The proposed reduction follows two rate reductions for I&M’s Indiana customers during the first six months of 2026. The company said the proposal is supported by load growth and increased revenue from large customers, including data centers.

I&M anticipates that the IURC will make a decision on the proposal in June 2027. If approved under the proposed timeline, customers would begin seeing the changes on their monthly bills in summer 2027.

“As Indiana continues to experience unprecedented growth, we are taking action to help our customers benefit from that growth through lower costs, enhanced value and continued investments to strengthen our system,” said Maryam S. Brown, I&M president and chief operating officer. “We are proud to join forces with state leaders to advance economic development and make energy more affordable – while continuing to provide system reliability upgrades.”

Indiana Gov. Mike Braun said, “From day one, my administration has focused on making energy more affordable for Hoosiers. Economic growth should not come at the expense of existing customers. Indiana Michigan Power’s proposal shows what’s possible when we create the right environment for investment while keeping Hoosier families front and center. Lower utility bills, long-term rate certainty and continued investment in our electric system are exactly the kinds of results we want to deliver for Indiana.”