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Sunday, May 25, 2025

Citizens Energy requests rate increase

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Citizens Energy Group is looking to increase wastewater rates. The company recently filed a petition with the Indiana Utility Regulatory Commission (IURC) seeking an increase.

“We have a federally mandated decree, not unlike cities across the country, with the Environmental Protection Agency, that we will clean up our rivers and streams. Right now we have a combined sewer system. About five to six billion gallons of raw sewage go into our rivers and streams every year. So we’re challenged with the task of fixing that problem,” said Sarah Holsapple, spokeswoman for Citizens Energy Group.

If the petition is approved, Holsapple said the average residential bill would increase by $18 per month beginning in July 2016 and about $3.75 per month in July 2017. The company said the current average residential bill is about $35 per month, depending on consumption. 

Included with Citizens’ proposal is a request for a low-income residential rate that would provide a 15 percent discount to customers who are enrolled in the Indiana Energy Assistance Program. The utility also plans to create a special-financial-assistance fund exclusively for water and wastewater customers in need.

“We’re hoping that offsets some of the costs,” said Holsapple. 

The biggest infrastructure investment Citizens has is a project called DigIndy. The series of tunnels, beginning near the Indiana State Fairgrounds to the north and ending on the south side of Indianapolis, is said to be the largest public works project in the city’s history. When complete, the 28-mile network of underground tunnels will capture and store raw sewage until it can be treated, leaving area waterways up to 97 percent cleaner than they are today. 

In addition to DigIndy, Citizens is investing in the Septic Tank Elimination Program (STEP). By removing customers from failing septic tanks and making sewer service available in more neighborhoods, Citizens eliminates the risk of failing septic tanks that leak raw sewage into the ground and into waterways. 

“Through DigIndy and STEP, Citizens is committed to improving Indianapolis’ water quality, which will enhance recreational opportunities and promote neighborhood revitalization,” said Jeff Harrison, president and CEO of Citizens.

The green light hasn’t been given to Citizens just yet on rate increases. The company still must attend hearings and get approval from the IURC. However, Citizens Energy has until 2025 to complete the federally mandated changes, therefore rate hikes are arguably inevitable. 

In the meantime, Citizens Energy consumers may get a break on their gas bills this winter. The company recently announced natural gas bills will be much lower than last winter (November through March) if temperatures are average. The average residential gas bill during that time was about $584. This year, assuming normal weather and typical usage, the average residential natural gas bill will be about $475, or about 19 percent less than last year.

Natural gas prices are not set by local utilities but rather are based on supply and demand. Prices have fallen significantly in the past five years because of increases in U.S. production. Natural gas costs are then passed on to customers on a dollar-for-dollar basis.

Holsapple reminds customers that financial assistance is always available to customers in need. They also have flexible payment arrangements. To inquire about eligibility or request a budget quote, customers can visit CitizensEnergyGroup.com or call (317) 924-3311.

“We do what we can to keep rates low and affordable, but at some point when we have to make major infrastructure improvements where we’re capturing billions of gallons of raw sewage, the only way to fund those infrastructure projects is through rate increases,” said Holsapple. 

Local resident Ann Johnson is enrolled in Citizens’ budget billing program, so if changes are made with either wastewater increases or decreases in the cost of gas, she doubts she will see a difference. Yet, she said she doesn’t mind.

“I know what my bill is going to be every month, and I like that it doesn’t change,” said Johnson. “I might not see all these changes on my bill, but it makes me feel real good to know they are doing something good with my money in fixing these sewers.”

Customers can further help their pockets by changing habits and doing work around their homes. Holsapple said wastewater costs can be controlled by water consumption.

“I have neighbors whose automatic sprinkler system goes off after it rains. All that water usage goes into the sewer system and makes your bill higher,” said Holsapple. “Checking for leaks is another big one. We have customers that call and say ‘my bill is three times higher this month.’ We look at their bill history and if it is higher, we recommend a plumber. More times than not, a leak is found.”

Other energy efficiency changes include inspecting furnaces annually, replacing furnace filters, dialing down thermostats, dialing down water heaters or installing energy efficient windows. Residents are also asked to check smoke and carbon monoxide detectors and install them if necessary. Other tips can be found at CitizensEnergySavers.com. 

“If customers fall behind, don’t let it go months and months until you get a disconnect notice. Please call us, we can work with you on costs or enroll you in a budget plan to make sure your bill stays the same,” said Holsapple. “We can’t help you if you are in need unless you call.”

 Low-income customers can also call Connect2Help at 211 or visit IndyEap.org to make an appointment for the Energy Assistance Program or for a referral to a variety of other household assistance programs. Customers outside Marion County should call their local community action agency. 

For more information about Citizens’ investment in infrastructure, visit CitizensEnergyGroup.com. To find out if you could qualify for the proposed low-income water and wastewater rate, call (317) 924-3311.

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