Post Author's Photographer By Kristin Eggen May 5, 2025

Written by Andrew Johnson, Executive Director at Clean Energy Districts of Iowa

A group of five former Iowa Utilities Board/Commission members have signed a two-page letter explaining how the current omnibus energy bill (House File 834,Senate File 585) appears to favor Alliant and MidAmerican investors over Iowa ratepayers.

The focus of the letter is Return on Equity (ROE), which is essentially the level of utility profit approved by regulators in each rate-related case.Like many aspects of ratemaking, ROE can be wonky, but the letter from former regulators explains clearly why Iowa’s ROE levels are too high, and why the situation will only worsen if the current bill is passed.

After carefully explaining their concerns related to ROE, the letter states:

“We commend legislators for taking ratemaking reform seriously. To address the ROE issue (and its intersection with Integrated Resource Planning processes and ARP dockets) in a manner that protects ratepayers,pausing the current legislation in favor of further analysis may be the better part of wisdom.”

CEDI thanks the letter’s signatories for their willingness to contribute meaningfully to the conversation around the energy bill, and encourage readers to share the ROE Letter with their legislators.

 

Additional Resources


Kristin Eggen first came to the Winneshiek Energy District as a Green Iowa AmeriCorps member in 2015. Eight years later, she is thrilled to lead the grassroots clean energy movement in Winneshiek County. Kristin deeply appreciates rural communities, Northeast Iowa, community sustainability, and nonprofit management. She uses The Art of Hosting Conversations that Matter methodology and graphic recording services to drive strategic conversations around community sustainability, justice, fundraising, and nonprofit health.

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