Customers of Alliant Energy's Iowa electric utility will see no increase in their base electric rates through 2016. Credits will also be included in customer bills based on the three-year agreement filed with the Iowa Utilities Board.
The agreement is a collective effort by Alliant Energy, the Office of Consumer Advocate, Iowa Consumer Coalition and the Large Energy Group. It will become effective when approved by the IUB.
The customer credits will be $70 million in 2014, $25 million in 2015 and $10 million in 2016. These credits will appear in the energy cost portion of customers' bills.
The agreement will extend the electric base rate freeze that has been in effect since 2011.
Between 2011 and 2014, Alliant Energy will have invested about $750 million in Iowa's electric system to improve electric reliability and the emissions profile of its power generating stations. This agreement offsets the cost of these investments with savings from the new nuclear purchased power agreement that began in February 2014.