Citizens Energy Group plans to switch the primary power source for its Perry K Steam Plant in downtown Indianapolis from coal to natural gas, the utility announced Wednesday. The conversion will cost about $9 million.
Citizens Gas says that if winter temperatures are normal, Marion County customers will pay just a few dollars more on their heating bills this winter, compared to last year.
Stock-market swoon contributes to favorable terms on purchase of city’s water, sewer systems.
Past board chairman David N. Griffiths will fill in for Roland Dorson, who resigned as president of the Greater Indianapolis Chamber of Commerce last week in the wake of a dispute with board leaders.
Citizens has more than 120 miles of transmission pipe and hundreds of miles of gas service lines.
Citizens Energy Group CEO Carey Lykins’ 2010 pay package, salary and bonus, totaled $1.6 million, more than his counterparts at the three largest municipal gas utilities in the country.
Ratepayers would pay no more than $14 million to cover charges associated with Citizens’ purchase of Indianapolis water and sewer utilities. Some say the capped amount is too much.
A not-for-profit public trust that wants to buy Indianapolis' water and sewer utilities has agreed to document all of the savings it says the $1.9 billion deal would create. State regulators still must approve the transaction.
Plenty of opportunities await city officials bent on making downtown shine for the massive event.
The city should refuse to pay the contract-termination fee given alleged defaults by Veolia, the consumer group says. Veolia is out after city sells the water company to Citizens Energy Group.
Citizens Energy previously said not using the bonds would add about $100 million to the cost of the deal over 30 years.
Playing a limited role under Indianapolis Water's new owner, Citizens Energy, wouldn't be profitable, Veolia says. Citizens plans to make job offers to "substantially all" Veolia employees.
Citizens Energy Group projects that the gas bill of its average residential customer will decline about 7 percent over the winter heating season. The utility said a customer who uses the typical amount of natural gas will spend $580, down from $620 last season.
If Citizens Energy can successfully manage and mitigate over the next two years the city’s lingering legal and contractual
obligations involving the water and sewer utilities Citizens is negotiating to buy, the city can hang onto an extra $25 million
in the deal.
Greater Indianapolis Chamber of Commerce and Builders Association of Greater Indianapolis support sale of water, sewer utilities.
City would use $425 million expected from selling the city’s water and sewer utilities to Citizens Energy Group to upgrade
city streets, sidewalks and bridges.
Citizens Energy should have completed the majority of its due diligence of the city’s water and sewer utilities, which
it plans to acquire, by the end of this month.
So far, in discussing his plan to sell the city’s water and sewer utilities, Mayor Greg Ballard has
emphasized the impact on utility rates, the $1.5 billion in city debt Citizens would assume, and the chance
to improve streets and sidewalks. But Ballard also has another key objective: business attraction and