*SB0422.1*
January 31, 2025
SENATE BILL No. 422
_____
DIGEST OF SB 422 (Updated January 30, 2025 10:15 am - DI 101)
Citations Affected: IC 8-1.
Synopsis: Advanced transmission technologies. Defines "advanced
transmission technologies" as software or hardware technologies that
increase the capacity, efficiency, reliability, or safety of an existing or
new electric transmission facility. Provides that in any integrated
resource plan (IRP) filed with the Indiana utility regulatory commission
(IURC) after December 31, 2025, an electric utility that owns or
operates a transmission or distribution system must include a
description of the potential use of, or investment in, one or more
advanced transmission technologies to enable the electric utility to
safely, reliably, efficiently, and cost effectively meet electric system
demand. Provides that in any IRP filed with the IURC after December
31, 2029, an electric utility that owns or operates a transmission or
distribution system must include a description of the electric utility's
transmission and distribution systems, as specified by the IURC.
Requires the IURC to conduct a study to evaluate the potential use or
deployment of advanced transmission technologies by public utilities.
Sets forth specific topics that the IURC must evaluate as part of the
study. Requires the IURC to include in its 2026 annual report the
commission's findings with respect to the topics evaluated in the study.
Provides that advanced transmission technologies qualify as eligible
transmission, distribution, and storage system improvements for
purposes of the statute that authorizes a public utility to recover eligible
costs incurred in connection with investments made in such
improvements.
Effective: July 1, 2025.
Koch, Schmitt
January 13, 2025, read first time and referred to Committee on Utilities.
January 30, 2025, amended, reported favorably — Do Pass.
SB 422—LS 7459/DI 101 January 31, 2025
First Regular Session of the 124th General Assembly (2025)
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
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additions will appear in this style type, and deletions will appear in this style type.
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a new provision to the Indiana Code or the Indiana Constitution.
Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
between statutes enacted by the 2024 Regular Session of the General Assembly.
SENATE BILL No. 422
A BILL FOR AN ACT to amend the Indiana Code concerning
utilities.
Be it enacted by the General Assembly of the State of Indiana:
1 SECTION 1. IC 8-1-8.5-3.4 IS ADDED TO THE INDIANA CODE
2 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
3 1, 2025]: Sec. 3.4. (a) As used in this section, "advanced
4 transmission technologies" means software or hardware
5 technologies that increase the capacity, efficiency, reliability, or
6 safety of an existing or new electric transmission facility, including:
7 (1) grid enhancing technologies, such as dynamic line rating,
8 advanced power flow controllers, and topology optimization;
9 (2) advanced conductors; and
10 (3) other technologies designed to:
11 (A) reduce transmission congestion; or
12 (B) increase the capacity, efficiency, reliability, or safety of
13 an existing or new electric transmission facility.
14 (b) As used in this section, "electric utility" refers to an electric
15 utility that:
16 (1) is listed in 170 IAC 4-7-2(a); and
17 (2) owns and operates a transmission or distribution system.
SB 422—LS 7459/DI 101 2
1 (c) In any integrated resource plan filed with the commission
2 under 170 IAC 4-7 after December 31, 2025, an electric utility must
3 include a description of the potential use of, or investment in, one
4 (1) or more advanced transmission technologies to enable the
5 electric utility to safely, reliably, efficiently, and cost effectively
6 meet electric system demand, taking into consideration cost, risk,
7 uncertainty, and the alternative investments needed to build new
8 transmission infrastructure if advanced transmission technologies
9 are not deployed.
10 (d) In any integrated resource plan filed with the commission
11 under 170 IAC 4-7 after December 31, 2029, an electric utility must
12 include a description of the electric utility's transmission and
13 distribution systems, as applicable, as specified by the commission
14 under 170 IAC 4-7.
15 SECTION 2. IC 8-1-8.5-14 IS ADDED TO THE INDIANA CODE
16 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
17 1, 2025]: Sec. 14. (a) As used in this section, "advanced
18 transmission technologies" means software or hardware
19 technologies that increase the capacity, efficiency, reliability, or
20 safety of an existing or new electric transmission facility, including:
21 (1) grid enhancing technologies, such as dynamic line rating,
22 advanced power flow controllers, and topology optimization;
23 (2) advanced conductors; and
24 (3) other technologies designed to:
25 (A) reduce transmission congestion; or
26 (B) increase the capacity, efficiency, reliability, or safety of
27 an existing or new electric transmission facility.
28 (b) As used in this section, "public utility" has the meaning set
29 forth in section 1 of this chapter.
30 (c) The commission shall conduct a study to evaluate the
31 potential use or deployment of advanced transmission technologies
32 by public utilities to enable public utilities to:
33 (1) safely, reliably, efficiently, and cost effectively meet
34 electric system demand; and
35 (2) provide safe, reliable, and affordable electric utility service
36 to customers.
37 (d) In conducting the study, the commission shall evaluate the
38 following:
39 (1) The attributes, functions, costs, and benefits of various
40 advanced transmission technologies, including grid enhancing
41 technologies and advanced conductors. In evaluating the
42 attributes of various advanced transmission technologies
SB 422—LS 7459/DI 101 3
1 under this subdivision, the commission shall consider whether
2 a particular technology does the following:
3 (A) Increases transmission capacity.
4 (B) Increases transmission efficiency.
5 (C) Reduces transmission congestion.
6 (D) Reduces the curtailment of generation resources.
7 (E) Increases system reliability.
8 (F) Increases system resiliency.
9 (G) Increases the capacity to connect new energy
10 generation resources.
11 (2) The potential of each of the advanced transmission
12 technologies studied to be used or deployed by public utilities
13 to provide safe, reliable, and affordable electric utility service
14 to customers in Indiana, considering existing and planned
15 transmission infrastructure and projected demand growth.
16 (3) Potential reductions in project costs and project
17 completion timelines by deploying advanced transmission
18 technologies, as compared to traditional transmission
19 infrastructure.
20 (4) Potential ways to streamline the deployment of advanced
21 transmission technologies, including streamlined processes for
22 permitting, maintenance, and upgrades.
23 (5) Any other aspect of advanced transmission technologies
24 that the commission determines will assist policymakers,
25 public utilities, ratepayers, and other stakeholders in
26 understanding the potential role of advanced transmission
27 technologies in the transmission system serving Indiana and
28 the region.
29 (e) In conducting the study required by this section, the
30 commission may consult with or invite comments from:
31 (1) regional transmission organizations;
32 (2) the Federal Energy Regulatory Commission or other
33 federal regulators;
34 (3) public utilities;
35 (4) the office of the utility consumer counselor;
36 (5) associations or organizations representing utility
37 ratepayers;
38 (6) regulatory commissions in other states;
39 (7) engineers or other experts; or
40 (8) other stakeholders.
41 The commission may incorporate any information or comments
42 received under this subsection in its report under subsection (f).
SB 422—LS 7459/DI 101 4
1 (f) The commission shall include in the annual report that the
2 commission is required to submit under IC 8-1-1-14 before
3 October 1, 2026, a report that includes the commission's findings
4 with respect to the topics outlined in subsection (d).
5 SECTION 3. IC 8-1-39-1.1 IS ADDED TO THE INDIANA CODE
6 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
7 1, 2025]: Sec. 1.1. As used in this chapter, "advanced transmission
8 technologies" means software or hardware technologies that
9 increase the capacity, efficiency, reliability, or safety of an existing
10 or new electric transmission facility, including:
11 (1) grid enhancing technologies, such as dynamic line rating,
12 advanced power flow controllers, and topology optimization;
13 (2) advanced conductors; and
14 (3) other technologies designed to:
15 (A) reduce transmission congestion; or
16 (B) increase the capacity, efficiency, reliability, or safety of
17 an existing or new electric transmission facility.
18 SECTION 4. IC 8-1-39-2, AS AMENDED BY P.L.89-2019,
19 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
20 JULY 1, 2025]: Sec. 2. (a) As used in this chapter, "eligible
21 transmission, distribution, and storage system improvements" means
22 new or replacement electric or gas transmission, distribution, or storage
23 utility projects that:
24 (1) a public utility undertakes for purposes of safety, reliability,
25 system modernization, or economic development, including the
26 extension of gas service to rural areas;
27 (2) were not included in the public utility's rate base in its most
28 recent general rate case; and
29 (3) either were:
30 (A) described in the public utility's TDSIC plan and approved
31 by the commission under section 10 of this chapter and
32 authorized for TDSIC treatment;
33 (B) described in the public utility's update to the public utility's
34 TDSIC plan under section 9 of this chapter and authorized for
35 TDSIC treatment by the commission; or
36 (C) approved as a targeted economic development project
37 under section 11 of this chapter.
38 (b) The term includes:
39 (1) projects that do not include specific locations or an exact
40 number of inspections, repairs, or replacements, including
41 inspection based projects such as pole or pipe inspection projects,
42 and pole or pipe replacement projects; and
SB 422—LS 7459/DI 101 5
1 (2) projects involving advanced technology investments to
2 support the modernization of a transmission, distribution, or
3 storage system, such as advanced metering infrastructure,
4 advanced transmission technologies, information technology
5 systems, or distributed energy resource management systems.
SB 422—LS 7459/DI 101 6
COMMITTEE REPORT
Mr. President: The Senate Committee on Utilities, to which was
referred Senate Bill No. 422, has had the same under consideration and
begs leave to report the same back to the Senate with the
recommendation that said bill be AMENDED as follows:
Page 1, line 6, delete "system," and insert "facility,".
Page 1, line 13, delete "system." and insert "facility.".
Page 1, line 15, delete "utility listed in 170 IAC 4-7-2(a)." and insert
"utility that:
(1) is listed in 170 IAC 4-7-2(a); and
(2) owns and operates a transmission or distribution system.".
Page 1, line 17, delete "June 30," and insert "December 31,".
Page 2, line 1, delete "an evaluation" and insert "a description".
Page 2, line 10, delete "an evaluation" and insert "a description".
Page 2, line 11, after "systems," insert "as applicable,".
Page 2, line 18, delete "system," and insert "facility,".
Page 2, line 25, delete "system." and insert "facility.".
Page 2, line 39, after "conductors." insert "In evaluating the
attributes of various advanced transmission technologies under
this subdivision, the commission shall consider whether a
particular technology does the following:
(A) Increases transmission capacity.
(B) Increases transmission efficiency.
(C) Reduces transmission congestion.
(D) Reduces the curtailment of generation resources.
(E) Increases system reliability.
(F) Increases system resiliency.
(G) Increases the capacity to connect new energy
generation resources.".
Page 3, line 39, delete "system," and insert "facility,".
Page 4, line 4, delete "system." and insert "facility.".
and when so amended that said bill do pass.
(Reference is to SB 422 as introduced.)
KOCH, Chairperson
Committee Vote: Yeas 8, Nays 0.
SB 422—LS 7459/DI 101