Projections of electrical energy sales constitutes the foundation for planning in the electric utility industry. Every distributor of electric energy, large or small, wholesaler or retailer, should have sales forecasts available upon which to base its physical and financial planning. Others associated with the industry, such as regulatory agencies and suppliers, also need such forecasts. The purpose of this paper is to develop an econometric model for forecasting annual industrial kilowatt-hour sales for the State of Indiana. The model is designated so that State agencies, suppliers and individual companies can use the model.