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 Regulatory History
On October 8, 1997, the Indiana Utility Regulatory Commission (IURC) approved NIPSCO's plan for customer choice, an alternative regulatory plan for the natural gas market in northern Indiana.
The approval of the plan capped off a process that began in late 1995. NIPSCO first filed its petition for an alternative regulatory plan in November, 1995. NIPSCO solicited input into the plan from consumer representatives, natural gas marketers, regulators and other Indiana utilities through a series of meetings held in 1996 and 1997. NIPSCO customers also provided direct input through surverys, public hearings, phone calls, and an Internet e-mail adress.
The plan and accompanying tariffs, as approved, were filed in a settlement agreement with all the above parties on May 9, 1997.
The settlement was supported by the Indiana Office of the Utility Consumer Counselor, a state agency whose statutory responsibility is to represent the interests of Indiana's ratepayers, consumers and public matters related to the provision of utility services. The settlement was also supported by the Citizens Action Coalition, NIPSCO's major industrial customers and several Indiana gas utilities.
Highlights of NIPSCO's plan for customer choice included:
a two-year supplier choice pilot program, called NIPSCO Choice, for residential and business customers;
a plan for system-wide implementation of supplier choice for all of NIPSCO's customers over a period not to exceed seven years;
a series of new delivery service options and sales service options for all customers;
a new gas pricing protection service for residential and small business customers;
a back-up supply service provided by NIPSCO to customers and natural gas marketing companies;
an incentive for the Company's gas purchasing operations;
affiliate guidelines that will apply to transactions between NIPSCO and its nonregulated gas marketing affiliates; and
assurance that the program will not affect NIPSCO's pledge to not increase existing base distribution rates.
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