Indiana utility regulators have approved Vectren Corp.'s seven-year plan to upgrade its electrical grid and pass those costs onto its customers through rate increases.
The Indiana Utility Regulatory Commission approved the Evansville-based utility's plan Wednesday. The grid upgrade will include replacing underground cables and modernizing equipment across Vectren's service area.
The company delivers electricity to about 145,000 customers in seven southwestern Indiana counties. The rate increase will not affect Vectren gas customers in central Indiana.
Vectren's original upgrade plan would have cost $516 million. But that proposal was reduced to $446 million in a settlement with the Indiana Office of Utility Consumer Counselor and a group of industrial customers.
The Evansville Courier & Press reports that by the end of the seven-year upgrade plan, a typical Vectren residential customer will see electric bill increases of about $16 to $17 per month.