Alliant Energy Corporation · NASDAQ:LNT
Alliant Energy — Corporate Update (December 2020)
16 slides from Alliant Energy's corporate update, December 2020
Slide 1: Electric Cost Outlook for Commercial and Industrial Customers
Electric Cost Outlook for Commercial and Industrial Customers December 2020
Slide 2: Agenda
Agenda • Derecho overview • COVID update • Clean Energy Blueprint • Energy cost overview • Questions and survey 2
Slide 3: Powering Through, Together
Powering Through, Together The derecho that hit Iowa was the second most costly storm to impact the US this year, trailing only Hurricane Laura. Our response efforts: • 341 communities impacted and over 256,000 customers without power • Worked as quickly and safely as possible to restore power • All
Slide 4: Powering Through, Together
Powering Through, Together Support for residential energy bills is available, but the time to apply is quickly running out. • Supporting customers with flexible payment arrangements • Proactive outreach about available resources IEDA Residential Utility Disruption Prevention Program • Provides eligi
Slide 5: Iowa Clean Energy Blueprint
Iowa Clean Energy Blueprint In October, we announced our next set of plans for our ongoing transition to renewable energy. Smart investment, economic catalyst, healthy environment. Highlights 400 MW of utility-scale solar Decrease use of coal • Discontinue coal generation in Lansing • Transition Bur
Slide 6: Wind projects come to completion
Wind projects come to completion Completed plan to add 1,000 MW of wind generation in Iowa from 2018- 2020 Energy for 430,000 Iowa homes Brings ownership to 1,299 MW in Iowa We are now the third largest utility owner-operator of regulated wind in the United States. 6
Slide 7: Electric bill breakdown
Electric bill breakdown Line items that make up your bill Explanation Basic service charge Base costs for each customer no matter their usage Usage costs Cost based on the amount of energy a customer uses. This also includes demand charges for LGS and HLF-LV customers Energy adjustment charge This p
Slide 8: Estimated breakdown of charges on your bill
Estimated breakdown of charges on your bill Large General Service High Load Factor 8 As of June 2020
Slide 9: EAC: Wind, tax benefits drive lower cost
EAC: Wind, tax benefits drive lower cost The EAC (Energy Adjustment Charge) line item on a customer bill tracks the actual cost to purchase or produce the energy our customers use, as well as other costs/benefits. EAC Drivers: • A tax benefit reduction continues through June 2021 • Additional wind r
Slide 10: RTS: Transmission trends higher
RTS: Transmission trends higher The RTS, or regional transmission MISO return on equity (ROE) refund service charge is a pass-through of transmission costs from our provider, ITC ‒ A group of customer advocates and Midwest. These costs are approved by utilities asked federal regulators to lower fede
Slide 11: RER: Tax credits, true-up drive lower factor
RER: Tax credits, true-up drive lower factor The RER or Renewable Energy Rider includes costs and tax benefits from renewable energy projects (Wind I and Wind II projects only) RER Drivers: • Greater amount of production tax credits from more wind generation • Income tax benefits • A true-up of 2020
Slide 12: 2021 electric cost outlook
2021 electric cost outlook This information is based on forecasts of future costs and includes yet-to-be-approved riders and the EAC, which is For large commercial customers subject to monthly changes. This will be updated as new information is available at alliantenergy.com/iowarates. Line items th
Slide 13: Large General Service electric cost trends (2018-2020)
Large General Service electric cost trends (2018-2020) $16,888 $16,812 $16,152 $15,073 7.2% 4.6% -0.5% 2018 2019 2020 2021 Note: This calculation uses an average general service customer usage (184,035 kWh/month and a 402.54 kW demand). Actual usage varies significantly from one business customer to
Slide 14: High Load Factor – Large Volume cost trends (2018-2020)
High Load Factor – Large Volume cost trends (2018-2020) $2.03 million $2.02 million $1.90 million $1.95 million 7.0% -0.6% -3.2% 2018 2019 2020 2021 Note: This calculation uses an average general service customer usage (31,989,820 kWh/month and a 54,113.49 kW demand). Actual usage varies significant
Slide 15: Your questions
Your questions • Your questions? ‒ Use the chat feature to submit your questions! • Need specific follow-up? ‒ Contact your account manager or the business resource center (1-866-ALLIANT) ‒ Email businesscenter@alliantenergy.com ‒ alliantenergy.com/iowarates 15
Slide 16: Thank you for attending!
Your input on today’s presentation • Please take time to respond to the survey link, which will be emailed to registered participants shortly. Thank you for attending! 16