In 2016 about three-fourths of the electricity produced in Indiana came from coal. This has severe environmental consequences, but isn’t as bad as a decade ago, when coal fueled 95% of the electricity production in Indiana. Natural gas and wind power have flourished recently and are slowly but surely replacing coal in Indiana. In 2016 natural gas and wind power accounted for about 20% and 5% (respectively) of electricity production in Indiana.
Solar energy has gotten off to a late start in Indiana, but is expanding rapidly in recent years. For example, construction was completed in 2014 on a solar farm at the Indianapolis International Airport. This photovoltaic project has 17.5 MW of production capacity, enough to power over 1,800 homes. However, even the largest Indiana solar farms are dwarfed by the state’s largest wind farm, which has a production capacity of 600 MW.
Indiana Electricity Prices
Indiana has a regulated electricity market, whereby local utility companies set and control electricity prices, generation, and delivery in their service areas.
Fortunately, Indiana residents still benefit from lower electricity prices relative to the rest of the country. According to the U.S. Energy Information Administration, the average retail price of electricity for Indiana residents in December 2016 was 11.40¢ per kWh, which is .81¢ below the average U.S. electricity price of 12.21¢ per kWh.
Residential electricity prices are still on the rise in Indiana, though, having increased more than 38% over the past 10 years. This trend has led to higher electricity bills for Indiana residents, motivating many to switch to renewable energy (i.e. go solar) to save money.
Indiana Energy Mix
Net Electricity Generation By Source:
Source: Energy Information Administration, 2016
Over the past 5 years, Indiana has doubled its electricity production from natural gas. During the same period, electricity production from coal fell over 30%.
Indiana Energy Sector Employment
According to the 2016 Clean Jobs Midwest Survey, Indiana is home to just over 44,000 clean energy jobs. 83% of these jobs are in energy efficiency, while 8.7% are in renewable energy. Most of these renewable energy jobs come from the solar and wind power industries. Solar and wind farms create full-time positions in monitoring and maintaining operations, as well as large amounts of temporary construction jobs. For example, the Fowler Ridge wind farm in Benton County created 300-400 jobs during its construction, and more than 36 permanent operational jobs.
Fun fact: more Americans are employed by renewable energy than coal, oil, and gas combined, despite wind and solar energy only making up 5% of the total U.S. energy mix. According to a study from the University of California, Berkeley, solar energy creates over 7 times more jobs than coal or oil per MWh produced. The employment estimates for wind power differ from source to source, but most agree that it also produces more jobs than fossil fuels.
Indiana Utility Companies
The largest utility companies in Indiana are Duke Energy, NIPSCO, Indiana Michigan Power (I&M), and Indianapolis Power and Light (IPL). Being in a regulated energy market, these utilities own the entire flow of electricity in their territories and also dictate electricity prices. As such, they are responsible for generating electricity, maintaining infrastructure, delivering electricity, and providing billing to all their residential and business customers across the state.
- Serves approximately 820,000 Indiana electric customers
- Headquartered in Charlotte, NC
- Founded in 1904
Northern Indiana Public Service Company (NIPSCO)
- Serves approximately 468,000 northern Indiana electric customers
- Headquartered in Merrillville, IN
- Founded in 1912
Indiana Michigan Power (I&M)
- Serves approximately 459,446 Indiana electric customers
- Headquartered in Fort Wayne, IN
- Subsidiary of American Electric Power
Indianapolis Power and Light (IPL)
- Serves approximately 480,000 Indiana electric customers
- Headquartered in Indianapolis, IN
- Founded in 1926
Arcadia Power’s Indiana Renewable Energy Services
With Arcadia Power’s clean energy offerings, homeowners and renters across the state can now sign up to reduce their impact, be more energy efficient, and save on their energy bills while keeping their same utility company. Here are three programs currently available to Indiana residents:
As an Indiana utility customer, you can reduce your impact by matching your home’s electricity usage with renewable energy certificates from wind farms. You can sign up for our 50% Wind Energy plan for free, and begin service with your next utility bill. All you need is your local utility login to link up with Arcadia’s platform and start supporting wind farms each month at no extra cost to you.
We offer a community solar-savings program to homeowners and renters in Indiana. No matter where you live, you can subscribe to community solar projects across the country and start saving on your utility bill each month. There aren’t any installations, site visits, or equipment necessary, and if you move, your savings will even move with you.
Zero-down Energy Efficient Products
Our pay-as-you-save energy program enables Indiana utility customers to access energy efficient products for $0 down. We will offer LED light bulbs, Wiser Air Smart Thermostats, and other home energy products to help you be more efficient and save on your utility bills. As an Arcadia customer, you can simply pay for your efficient products over time using the energy savings you’ll start seeing each month.