PowerPoints: Latest On CA Fire Legislation and IN IURC Shakeups

Research evidence excerpt

PowerPoints: Latest On CA Fire Legislation and IN IURC Shakeups

USA | Power & Utilities EquityJuneResearch25, 2026

Exhibit 1 - Indiana Investor Owned UtilitiesPowerPoints: Latest On CA Fire Legislation and

Average Residential Bill Trends

160IN IURC Shakeups 150

Stakeholder feedback from CA points to draft legislation likely emerging in 140130

August. Legislative 'package' still in early ideation phase, but will need to marry 120110

2021 2022 2023 2024insurance and utility resolutions. Still difficult in our view. In Indiana, expect focus

AES Indiana Duke Energy Indiana, LLC

Indiana Michigan Power Co Northern Indiana Pub Serv Coto shift to less volumetric rates after IURC Chair replaced & commissioner Southern Indiana Gas & Elec Co

resigns. Wider investigative inquiry report on affordability coming post July 4th .Source: Energy Information Administration (EIA) and

Jefferies LLC

still. Noise level high; MSFT still the big upside for NI.

California: Draft text will likely not surface until August, after the summer recess. Feedback from

stakeholders have consistently pointed to that draft legislation will likely surface after the summer

recess, possibly closer to August. That said, the potentially later than expected draft legislation does

not necessarily imply inaction during the session. As a note, there will not be an extension post the

August 31st deadline this year. For investors, this effectively creates an ‘air pocket’ of catalyst, where

there will be a lack of catalyst events support shares while exposed to fire risk. Remain biased cautious

on meaningful reforms from latest discussions.

Legislative efforts would need to marry both an insurance and utility resolution. We continue to