Indiana Governor Fired a Utility Regulator Who Approved a $71M Rate Hike

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Indiana’s Utility Regulator Fired the Day a Rate Vote Was Scheduled

Indiana Gov. Mike Braun fired utility regulator Andy Zay on August 4, 2026, the same day the Indiana Utility Regulatory Commission (IURC) published an agenda for a vote on reconsidering a $71 million AES Indiana rate increase that Zay had helped approve. The timing was direct: Zay voted in June to raise rates for AES Indiana customers, and Braun spent the weeks that followed stripping his authority and ultimately removing him from the commission.

The IURC had been scheduled to vote on August 6 on whether to reconsider that rate hike. New IURC Chair Anthony Swinger pulled the item from the agenda the day before, saying there was “no consensus among the commissioners.” The commission has until September 8 to act on the reconsideration petition.

The Official Cause for Firing Does Not Match Braun’s Own Explanation

The State Personnel Department listed three reasons for Zay’s dismissal: failing to file a required financial disclosure after his removal as chair, improperly awarding payments and gifts to employees, and directing staff to alter a public meeting agenda without consulting the new chair. When Braun spoke to reporters on August 5, he focused instead on Zay’s vote on the rate increase, saying he disapproved of Zay’s approach to affordability.

“Ne[ver] apologize for standing up for affordability.”

Gov. Mike Braun, comments to reporters, August 5, 2026 (source article, quote cut off in original)

Indiana law limits the governor’s removal power: IURC commissioners serve four-year terms and can only be dismissed “for cause.” Braun appointed Zay to the commission just six months before the rate vote, then demoted him as chair the day after the 3-1 vote and raised Swinger in his place.

Ratepayers Are Waiting on a $71 Million Decision

AES Indiana serves customers in central Indiana. The June vote approved a $71 million annual rate increase over one dissenting vote from Commissioner Bob Deig. Braun directed Utility Consumer Counselor Abby Gray to file a petition for reconsideration, which she submitted in July. Swinger, who previously worked at the Office of Utility Consumer Counselor and represented ratepayers in IURC proceedings, has recused himself from the AES case entirely and says he has had no internal discussions about it.

The reconsideration vote is now unscheduled, with a hard deadline of September 8. Whether the remaining commissioners reach a decision before then, and which way they rule, will determine whether AES Indiana customers absorb the full rate increase.

What You Can Do Now

  1. Call Gov. Braun’s office at (317) 232-4567 and ask that he publicly commit to non-interference in IURC rate proceedings. Tell staff the AES reconsideration must be decided on the merits, not political pressure.

  2. Submit a comment to the IURC before September 8. The commission accepts public input at iurc.in.gov. Tell commissioners you expect a transparent, independent vote on the AES Indiana reconsideration petition.

  3. Contact your Indiana state legislators through the General Assembly directory at iga.in.gov/find-legislators and ask them to hold oversight hearings on the IURC appointment and removal process. Indiana law requires “for cause” dismissals; ask your rep to clarify what that standard requires.

  4. Reach the Office of Utility Consumer Counselor at (317) 232-2494. The OUCC filed the reconsideration petition on behalf of ratepayers. Ask what additional evidence they plan to present before the September 8 deadline.

Sources

Indiana Capital Chronicle: IURC Head and Governor Discuss Zay Firing and AES Rate Hike Reconsideration Indiana Capital Chronicle: Zay Fired From Utility Regulator Panel Weeks After AES Hike Demotion Indiana Utility Regulatory Commission: Commission Overview and Appointment Authority Office of Utility Consumer Counselor: About the OUCC and Ratepayer Representation

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