Lawmakers betting state energy policy on speculative future and ancient past

Indiana’s aggressive push for economic growth is shaping state policy at an accelerating pace, but concerns are mounting about the financial and environmental costs. The Indiana House recently advanced House Bill 1007, which would expedite utility approvals, subsidize small modular nuclear reactors (SMRs), and limit coal plant closures. While SMRs are a promising but unproven technology in the U.S., coal remains a dirty and persistent energy source. Meanwhile, the LEAP Innovation District’s projected energy demand has doubled to 1,200 megawatts, reinforcing Indiana’s commitment to high-tech industry growth. While this could attract major employers like Meta and Eli Lilly & Co., it also signals the state’s willingness to shift financial risk onto residents, write the Journal Gazette.

HB 1007’s cost-recovery model, which allows utilities to recoup 80% of development costs from ratepayers before project completion, raises alarms about fairness and accountability. Consumer advocates warn that this approach effectively shields utility companies from financial risk while forcing Hoosiers to fund speculative energy ventures. Critics, including Kerwin Olson of the Citizens Action Coalition, argue that Indiana’s policies prioritize economic development over utility affordability, leaving consumers to bear the burden of risky investments. Moreover, the state’s reluctance to provide transparency on the LEAP project fuels concerns that Indiana is prioritizing corporate incentives over public accountability. As economic expansion continues, lawmakers must ensure energy policy safeguards affordability and protects ratepayers from unchecked costs.