Indiana Michigan Power flips the switch where the Hoosiers and the Wolverines live and work. The utility serves about 582,000 electricity customers over its 24,220-mile transmission and distribution system in eastern and northern Indiana and southwestern Michigan. The American Electric Power subsidiary also sells power wholesale to other energy market participants, and it has some 5,930 MW of capacity from its primarily fossil-fueled (61% of total capacity), and nuclear power plants. Indiana Michigan Power owns the Cook Plant in Michigan, which consists of two nuclear generating units with a capacity of 2,160 MW. Nuclear power accounts for about 36% of Indiana Michigan Power's generating capacity.
Indiana Michigan Power's capacity also includes 150 MW of wind power, and some hydro power (22.4 MW). Its River Transportation Division provides barging services to affiliates and nonaffiliated companies.
The utility serves about 120 communities in Indiana and almost 50 in Michigan.
Sales and Marketing
Indiana Michigan Power's largest industrial customers include Wal-Mart Stores, Steel Dynamics, and Air Products and Chemicals.
The company's revenues marginally increased by 1% in 2011 due to higher revenues generated by Electric Generation, Transmission, and Distribution.
However, Indiana Michigan Power's net income jumped by 19% in 2011 as Operation and Maintenance expenses decreased due to expenses related to the cost reduction initiatives recorded in 2010 not showing up in 2011, and due to a decrease in steam power expenses relating to an earlier fire-related outage at a power plant.
The company is looking to boost its green energy capacity in order to comply with the demands of Clean Air regulations. In 2011 it added 100 MW of wind power to its generation portfolio as part of a 20-year power purchase agreement reached with E.ON Climate and Renewables, N.A. The Wildcat-1 wind farm eill be located in Madison, Grant, Howard, and Tipton counties about 45 miles northeast of Indianapolis. The project will produce enough energy to power roughly 60,000 homes and will offer new clean energy resources to Indiana Michigan Power's customers.
Founded in 1925, Indiana Michigan Power has operated the assets of Fort Wayne, Indiana's municipal system since 1975.