Small Nuclear Reactors and How They Could Affect Indiana

STATEHOUSE–Any new technology comes with its problems and its price and some Hoosier electricity customers may have to pay for one of those experiments. At least two bills in the General Assembly this year deal with small modular nuclear reactors and their possible use for powering homes and businesses.

One of those bills (SB424) would give the utilities a way to recover some of the costs of the experimental power generation from ratepayers without having a certificate of public convenience, which is how lawmakers and utilities refer to you, the paying customer.

Another bill (SB423), which was discussed Tuesday in the House Utilities Energy and Telecommunications Committee, would make partnerships possible between utilities and many other kinds of entities, to help pay for the technology.

If SMRs are eventually used in Indiana, the state could be the first in the U.S. to use such technology, which is currently being used in China.

During that committee meeting, Sen. Eric Koch, chair of the Senate Utilities Committee, answered questions about some of the possible drawbacks for customers.

“As a ratepayer I couldn’t imagine paying my bill and then the next month seeing a $150 or $200 increase,” said Rep. Alex Burton, a Democrat from Evansville. “Is there something to make sure that ratepayers who take on this burden have some sort of warning?”

Koch explained that there is nothing in either bill to regulate what correspondence customers get about the rate change. He said that would be up to the state’s Utility Regulatory Commission.

“If a utility decides to go forward with this program, on their bill would there be a line item specifically stating this?” asked Rep. Cherrish Pryor, a Democrat from Marion County. She said she believes customers deserve to know exactly what they are paying for.

Koch said that is outside the purview of the bill on which he was speaking.

“I think this committee and mine have spent a lot of time discussing whether ratepayers pay more or less…I think in the long run they’re gonna pay less. Now, that’s a complex argument to make,” said Koch.

The bills still must pass the House to become law.

SEE ALSO