April 30, 2026 · Statewide
Indiana's Energy Mix Is Shifting to Gas and Solar, What That Means for Your Facility's Power Costs
Indiana's energy mix is shifting fast: coal to gas, solar, and data center load. Here's what NIPSCO, Duke, and DOE emergency orders mean for your facility's power co
Coal has dropped to about 42% of Indiana's net electricity generation: from more than 80% a decade ago, and the infrastructure replacing it involves natural gas plants sized for Amazon data centers, federal emergency orders keeping damaged coal units running at six-figure daily costs, and a Duke Energy capital plan unlike anything Indiana has seen before. For Indiana manufacturers, this is your cost and reliability exposure for the next three to five years, not just another story about the energy transition.
01Statewide
Indiana's Generation Mix and Mammoth Solar: What's Actually Being Built
Indiana's 2024 mix ran roughly 42% coal, 36% natural gas, 9% wind, and 6% solar. Industrial load accounts for about 43% of total in-state electricity consumption, this is an industrial grid first, and that matters when costs shift.
02Statewide
Duke Energy Indiana's $103 Billion Capital Plan Is Already in Your Bills
The IURC approved new Duke Energy Indiana rates in early 2025, adding roughly $295.7 million in annual revenue. For customers, that works out to an overall average bill increase of about 11%, phased in as approximately 8% in February 2025 and another 3% in early 2026.
03Statewide
DOE Emergency Orders Are Keeping Aging Coal Plants Online, and the Costs Are Landing Somewhere
On December 23, 2025, DOE Secretary Chris Wright issued emergency orders under Section 202(c) directing NIPSCO and CenterPoint, along with MISO, to keep Schaeffer Units 17 and 18 in Wheatfield and Culley Unit 2 in Warwick County operating past their planned December 31 retirement dates. Those orders were extended March 23, 2026 and run through at least June 21, 2026.
Questions for Your Morning Huddle
Q: How will NIPSCO's 2,300 MW natural gas build for Amazon data centers affect long-term electricity costs for Indiana manufacturers? A: Every dollar NIPSCO invests through GenCo goes into its rate base and gets recovered from ratepayers over time through future rates. Manufacturers in NIPSCO territory should use conservative rate increase assumptions, not flat ones, in any three-to-five-year energy cost forecast.
Q: What's our financial exposure to the DOE emergency orders at Schaeffer and Culley, and how does that cost reach our bills? A: Schaeffer is running about $174,000 per day in extended operating costs; Culley adds roughly $21,000 more. NIPSCO is seeking FERC approval to spread those costs across MISO. C&I customers typically absorb a disproportionate share of these allocations, and your energy budget scenarios should account for this exposure before the next rate case decision is issued.
Q: Given Duke's $103 billion capital plan and ongoing rate case activity, how accurate are our three-to-five-year energy cost forecasts? A: Duke's rate increases are not finished, the utility has filed for reconsideration and its capital deployment runs through 2030. If your facility-level forecasts assume flat or modest rate growth, they are likely too optimistic. Build your scenarios around the high end of any reasonable range.
Watch the DC Circuit case on the DOE emergency orders and any FERC ruling on cost allocation, together they determine how much of the Schaeffer and Culley tab lands on your tariff. For a deeper look at how utility infrastructure investments translate into demand charges and C&I rate exposure, see our Canon post on demand ratchets and how Indiana utilities recover infrastructure costs through your bill.
Manufacturers Energy Grant Program
Free for Indiana manufacturers
Manufacturers from qualifying Indiana counties receive free, ongoing energy auditing and cost control that reduces their energy bills and keeps them low, month after month. Every line item checked and validated, every opportunity found comes with a step-by-step guide to capture it.
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