Citizens Action Coalition v. Duke Energy Indiana - 6/25/14

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Wednesday  June 25, 2014 
1:00 PM  EST

1 p.m. 93A02-1305-EX-394. Krannert Center for Executive Education, West Lafayette. In November 2007, Duke Energy Indiana, Inc. ("Duke") received approval from the Indiana Utility Regulatory Commission ("IURC") to build an "integrated gasification combined cycle" power plant ("Plant") at Duke's Edwardsport facility in Knox County, Indiana. As allowed under Indiana Code section 8-1-8.5-6, the IURC ordered semi-annual reviews of the Plant's construction progress. During each six-month review, and as permitted under Indiana Code chapter 8-1-8.8, Duke asked the IURC for permission to timely recover "reasonable and necessary" constructions costs and financing costs through customer utility rates. In the instant action, Citizens Action Coalition of Indiana, Inc., Save the Valley, Inc., Sierra Club, and Valley Watch, Inc. ("Joint Intervenors") appeal from the IURC's order in its ninth semi-annual review. On appeals, the Joint Intervenors present the following issues:
   Whether the IURC committed reversible error by authorizing inclusion of 100 percent of Duke's requested financing costs (under Indiana Code section 8-1-8.8-12) in retail customer rates without making any findings of fact or conclusions thereon regarding Joint Intervenors' argument that Duke cannot recover financing costs for a three-month delay in construction; and
   Whether the IURC committed reversible error by unconditionally allowing Duke to declare 50 percent of the Plant to be "in service" without making any findings of fact or conclusions thereon, and despite Duke's admission that the Plant had not reached its "In-Service Operational Date" as that term was defined in the Settlement Agreement to which Duke was a party.

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