Some Evansville residents see their CenterPoint bills double as hearing on new hike looms

EVANSVILLE – The chance to have their voices heard couldn't come at a better time for CenterPoint customers.

In the past couple weeks, hordes of people in Facebook groups such as Direct Action Against CenterPoint Energy have gone online to vent about sharp increases in their January bills.

The Courier & Press reviewed bills from other customers as well. Some saw their costs more than double.

It all comes as CenterPoint attempts to hike bills even more. In January, the company filed a request with the Indiana Utility Regulatory Commission to increase its base electrical rates, all while Evansville already pays the highest residential electric costs in the state.

Now public hearings on the request are slated for Feb. 29 at the Old National Events Plaza's Locust Room, allowing citizens to speak directly to some members of the IURC commission: the five unelected, governor-appointed officials who can approve or deny any proposed rate hike from a state utility.

According to the Office of Utility Consumer Counselor, this rate increase would take a residential electric bill for 1,000 kilowatt hours from $207.20 to $253.40.

The IURC hasn't said which commissioners will attend. The sessions are set for 2 p.m. and 6 p.m., respectively.

It won't just be residents speaking out. The Evansville City Council voted earlier this month to hire legal counsel to officially intervene in the case. The Vanderburgh County Commissioners oppose the proposed increase as well, with all three members voting for an anti-hike resolution during their meeting on Feb. 20.

CenterPoint Energy's main office in Downtown Evansville, Indiana.
CenterPoint Energy's main office in Downtown Evansville, Indiana.

Evansville Mayor Stephanie Terry said in an "Ask the Mayor" series on Facebook that she would be in attendance at the Feb. 29 public hearing, as well.

City Councilors Alex Burton, D-4th Ward, and Missy Mosby, D-2nd Ward, said the skyrocketing bills put an even greater hardship on Evansville's low-income residents, whose incomes already trail far behind the Indiana's median average.

"The money that is going to our only energy provider is simply draining too many of us," Burton said. "Though this intervening will not solve all of our problems immediately, it is a start."

CenterPoint's claims on why bills are increasing don't always add up

The Courier & Press reached out to CenterPoint earlier this month for an explanation on the sudden jump in costs. They pointed to two main reasons: a harsh cold snap and a longer billing period.

"January brought the coldest weather this winter season yet, with multiple days of temperatures below freezing,"' CenterPoint spokesman Noah Stubbs said. "As a result, some Southwestern Indiana customers may see an increase in their bill amount."

But despite a few days of sub-zero wind chills, January was mild overall. According to data the National Weather Service provided to the Courier & Press, there were only eight days last month in which temperatures didn't nudge above freezing.

Meanwhile, January saw four days that hit 50 degrees or higher, and two more that reached at least 48 degrees. And some customers' billing periods actually began in late December, when Evansville saw a wave of unseasonable warmth.

The billing periods, however, were unquestionably longer. According to bills reviewed by the Courier & Press, some customers were charged for as much as 39 days.

Stubbs said many bill cycles "were temporarily adjusted in December and January in preparation for a billing system update."

When the Courier & Press asked if customers were told about the longer billing period beforehand – so residents could prepare for the potential jolt to their budget – spokeswoman Michelle Hundley said CenterPoint "missed the opportunity" to let customers know.

"We have waived late fees for our customers for the current bill cycle," she said.

Then there were the "distribution and service charges" for natural gas users. In a bill provided to the Courier & Press, one customer paid only $34 for gas itself. The distribution and service charge for that? $104.

In another, a customer paid $49 for gas. The distribution and service charge was $123.

Distribution and service charges are determined by a morass of fixed and volumetric fees and adjustments. In the winter of 2021, those increased by 271%, leaving many Evansville residents scrambling for help and local assistance programs struggling to keep up.

"Unless there’s some concerted systemic effort ... the bills aren’t going to go down and the needs are going to continue to increase,” a nonprofit worker told the Courier & Press at the time.

CenterPoint requests to talk to journalists, legislators ahead of public hearing

On Feb. 14, CenterPoint reached out to the Courier & Press and other local media outlets with an "offer to meet on background and discuss the details of our filing with the reporter who might cover the field hearings."

After clarifying that "on background" did in fact mean off the record, the Courier & Press declined the offer, noting the preference for a conversation that could be relayed to the public. CenterPoint never offered to have an on-the-record talk.

Three days later, during a local Meet Your Legislators event, Indiana State Sen. Vaneta Becker told the at-capacity crowd CenterPoint had reached out to her earlier in the week, as well, also wanting to meet about the rate case.

"I said, 'Well, I'll meet with you, but I can tell you right now I'm opposed to it,'" she said.

Becker, who represents all of Warrick County and parts of eastern Vanderburgh County, encouraged people to attend the field hearings on Feb. 29. If the legislature ends on time for the day, Becker said she plans to be at the 6 p.m. session.

"People cannot afford this," she said. "I just got my utility bill and it's $338. And I'm sure everybody's is way too high."

This article originally appeared on Evansville Courier & Press: Why is my CenterPoint bill higher this month?