As households and businesses continue to navigate higher costs across many aspects of daily life, Indiana Michigan Power (I&M) announced today that Michigan customers will see lower rates beginning in the July billing cycle. As the company passes the benefits of lower-than-expected power supply expenses on to its customers, the average residential customer in Michigan using 1,000 kilowatt hours (kWh) per month will see a 7.9% decrease, or roughly $14.50, in their monthly bill.
I&M looks for every opportunity to produce and deliver energy as efficiently as possible on behalf of customers. Through careful management of power supply costs and energy market transactions, the company's net expenses were lower than anticipated during portions of the year. The Michigan Public Service Commission approved the adjustment, ensuring customers receive the benefit of those savings through December 2026.
“We know every dollar matters, especially as families and businesses manage the cost of everyday necessities,” said Katie Runkle, I&M’s vice president of External Affairs and Customer Experience. “We have a responsibility to deliver energy at the lowest possible cost, so when our efforts to manage fuel and power supply costs result in savings, those benefits should be returned to customers. We're pleased the Michigan Public Service Commission approved this adjustment so customers can see that benefit on their bills.”
Customers who want to better understand what makes up their bill or what’s driving changes in their bill can visit I&M's Bill Support Center, which offers bill explanations, energy-saving resources, rate information and tools to help customers manage costs. Among some of the site’s features is a Quarterly Rate Snapshot that provides customers with updated information on their current rate, whether it has increased or decreased over the past quarter, and what factors caused any changes.
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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 coalfueled 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.