IUB determines municipalization is not in the ‘public interest’

Iowa Utilities Board determines that Everly, Kalona, Rolfe, Terril and Wellman should continue to be served by IPL

Interstate Power and Light Company (IPL), a subsidiary of Alliant Energy corporation (NYSE: LNT), received a decision today from the Iowa Utilities Board (IUB) regarding municipalization efforts by the communities of Everly, Kalona, Rolfe, Terril and Wellman. The IUB rejected, by unanimous decision, a consolidated petition by the cities to municipalize the local electric assets of IPL and provide their own electric service saying that it was not in the ‘public interest.’

“Throughout this process, we have continued to serve the communities of Everly, Kalona, Rolfe, Terril and Wellman with safe, reliable and affordable electric power,” said Tom Aller, president of IPL. “The IUB’s decision will protect the citizens of these communities from greater financial and operational uncertainty in the future.”

The IUB’s decision concludes several years of work by the cities to establish new municipal electric utilities. The cities of Everly, Kalona, Rolfe, Terril, Titonka and Wellman petitioned the IUB in June 2006 for certificates of authority to furnish their own electric service. Titonka later withdrew their petition.

“The IUB’s decision supports our long-held position that we can provide the residents of these communities with the most beneficial, affordable, reliable and environmentally responsible electric service,” continued Aller. “Once you do a thorough analysis and look at all the costs as the IUB has done, municipalization for these communities did not make financial or operational sense.”