Indiana should not hitch its wagon to renewables
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Hoosiers pay far too much for their electricity. With renewables on the rise, it’s only going to get worse.
It’s becoming more difficult to produce the energy necessary to keep prices down and strengthen grid reliability in Indiana. As environmentalist groups urge the state to rapidly phase out coal-fired energy for renewables like wind and solar, Hoosiers must brace themselves for even higher electricity bills and potential blackouts. That’s why Indiana must keep cheap and reliable coal as a central part of its energy strategy.
Renewables simply cannot meet the rising demand for electricity in our state. The grid will endure more stress in the coming years, especially with more electric vehicles on our roads. Wind and solar can’t meet this increasing demand, as they remain intermittent and rely on favorable weather conditions to function. Moreover, Indiana also recently ranked dead last in the United States for “going solar,” or installing rooftop solar panels because it’s simply too expensive. With wind turbines, the situation is just as dire: the cost of new turbines has increased by 38% in just two years. Wind and solar simply don’t make sense for consumers or energy providers.
The problem extends beyond renewables: natural gas is also too expensive and unreliable. Just recently, the Northern Indiana Public Service Co. (NIPSCO) requested a rate increase to cover the cost of new federal regulations on natural gas power plants. Indiana’s increasing dependence on natural gas will take more money out of Hoosiers’ wallets. It’s also unreliable in extreme weather conditions, threatening the well-being of Hoosiers in the winter and summer months.
The consequences of our energy crisis have already arrived. The Indiana Utility Regulatory Commission will likely approve a request from AES Indiana to increase electricity prices once again. The increase will thankfully be less than originally proposed, but persistent rate increases in Indiana are costing Hoosiers. Many Hoosiers paid nearly double for electricity in 2023 than they paid in 2014. Prices seem to rise every year.
Indiana’s energy bills once ranked among the cheapest in the United States. Unfortunately, Hoosiers now have the 10th highest average energy bill in the country. If Indiana continues on its current path, Hoosiers will suffer. What happened?
Over the past decade, the state of Indiana has been rapidly phasing out its primary source of energy, coal, for other sources like wind, solar, and natural gas. In 2009, coal accounted for 89% of Indiana’s energy production. Today, it’s barely over 50%. In Indiana, cheap and reliable coal is in rapid decline.
Solar panels, wind turbines, and natural gas don’t meet our needs at an affordable rate. We need a diverse energy mix, and coal must remain central to it.
Coal is cheaper and more reliable than most alternatives. Coal plants can continue producing energy even in unfavorable weather conditions with more than sufficient reserves to ensure our lights stay on. Keeping coal in the mix helps keep prices down and makes the grid more reliable.
To protect Hoosiers from rate hikes and reliability issues, we must not hitch our wagon to renewables. Let’s work together to protect Hoosier households and keep coal in Indiana.