State energy regulators have approved Alliant Energy’s plans to forgive up to $5 million in unpaid utility bills and make up for the cost with a future rate increase, according to a Wisconsin State Journal report.
The Public Service Commission voted 2–1 in favor of a debt forgiveness plan to prevent disconnection of customers as past-due balances increase during the COVID-19 pandemic. Under the plan, approximately 4,000 low-income residential customers owing at least $300 for more than 60 days will be automatically enrolled in the program and have their balance reduced by 25%.
If the customer pays bills on time for the next year, the past-due balance will be forgiven. Those who miss two consecutive payments will be disallowed from the program. It is estimated that the plan would result in about $1.1 million in lost revenue this year and another $3.9 million over the next two years. The company has proposed folding these losses into future rates.
