As used in this chapter, "service enhancement improvement" means an expenditure that is either of the following:

1. (1) Made, or to be made, by an eligible utility and related to:

   1. (A) direct or indirect compliance with one (1) or more requirements; or

   2. (B) installation of a new plant or equipment:

      1. (i) that is not a replacement plant or equipment; and
      2. (ii) that the commission determines is reasonable and appropriate to further health, safety, or environmental protection for the eligible utility's customers, employees, or the public.

2. (2) Any of the following that are made, or to be made, or incurred, or to be incurred, to maintain existing health, safety, or environmental protection for the eligible utility's customers, employees, or the public:

   1. (A) Replacement of a plant or equipment.

   2. (B) Subject to section 9.1 of this chapter, chemical costs recorded in:

      1. (i) Account 618; or

      2. (ii) Account 718;

         of the National Association of Regulatory Utility Commissioners Uniform System of Accounts as adopted by the commission under 170 IAC 6-2-2.

   3. (C) Subject to section 9.1 of this chapter, power costs recorded in:

      1. (i) Account 615; or

      2. (ii) Account 715;

         of the National Association of Regulatory Utility Commissioners Uniform System of Accounts as adopted by the commission under 170 IAC 6-2-2.

As added by P.L.137-2020, SEC.15. Amended by P.L.127-2026, SEC.4.