HOOSIERS EXPECTED TO SEE SAVINGS AS I&M ADVANCES ONE OF THE NATION'S LARGEST RATE REDUCTION PLANS

FORT WAYNE, Ind., Aug. 26, 2026 /PRNewswire/ -- The state of Indiana has called on utilities to take action to make energy more affordable, and Indiana Michigan Power (I&M) is meeting that call with a plan to deliver savings and stability for customers.

I&M has unveiled one of the nation's largest base rate reduction plans, which includes approximately $59 million in 2027 bill reductions expected to help a residential customer in Indiana using 1,000 kWh a month save an estimated $100 per year. The plan also provides stability for Indiana residential customers by proposing to freeze all rates on their monthly bill for three consecutive years.

The planned reduction comes as rates for I&M's Indiana customers have been reduced twice in the first six months of this year, demonstrating I&M's continued focus on managing costs and delivering value to customers as Indiana's economy and electricity demand grow. The plan is made possible thanks to load growth and increased revenue from large customers including data centers.

I&M anticipates a decision from the Indiana Utility Regulatory Commission (IURC) on the proposed plan in June 2027. Under this timeline, customers are expected to see savings reflected on their monthly bill starting 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 Governor 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."

Indiana Michigan Power (I&M) is headquartered in Fort Wayne, and its approximately 2,000 employees serve more than 600,000 customers. More than 85% of its energy delivered in 2024 was emission-free. I&M has at its availability various sources of generation including 2,278 MW of nuclear generation in Michigan, 450 MW of purchased wind generation from Indiana, more than 22 MW of hydro generation in both states and approximately 35 MW of large-scale solar generation in both states. The company's generation portfolio also includes 1,497 MW of coal-fueled generation.

American Electric Power (Nasdaq: AEP) is committed to improving our customers' lives with reliable, affordable power. We plan to invest $78 billion from 2026 through 2030 to enhance service for customers and support the growing energy needs of our communities. Our nearly 18,000 employees operate and maintain the nation's largest electric transmission system with 40,000 line miles, along with more than 252,000 miles of distribution lines to deliver energy to 5.6 million customers in 11 states. AEP also is one of the nation's largest electricity producers with approximately 33,000 megawatts of diverse owned and contracted generating capacity. We are focused on safety and operational excellence, creating value for our stakeholders and bringing opportunity to our service territory through economic development and community engagement. Our family of companies includes AEP Ohio, AEP Texas, Appalachian Power (in Virginia, West Virginia and Tennessee), Indiana Michigan Power, Kentucky Power, Public Service Company of Oklahoma, and Southwestern Electric Power Company (in Arkansas, Louisiana, east Texas and the Texas Panhandle). AEP also owns AEP Energy, which provides innovative competitive energy solutions nationwide. AEP is headquartered in Columbus, Ohio. For more information, visit aep.com.

SOURCE Indiana Michigan Power