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Utilities Refund

LaPorte County, IN: (Mar-08-08) LaPorte County brought charges against the Northern Indiana Public Service Co. (NIPSCO) alleging that the utility bought more higher-cost outside power since 2001 after closing Mitchell Generating Station in Gary, IN. The suit, filed between the Office of Utility Consumer Counselor and a group of NIPSCO industrial customers, challenged the cost of electricity being purchased from outside sources, stating that it impacted the bills of electric customers. Sources close to the case revealed that a settlement had been reached between the parties.

Under the terms of the settlement agreement, refunds totaling $33 million are going out to NIPSCO electric customers. It is estimated that on bills for February, March and April 2008, an average household consumer is getting a credit of $5 a month, or 6 to 7% of the customer's electric costs. Company officials claimed that businesses that are especially heavy users of electricity are seeing refunds of several thousands of dollars. City sources said that the refund was based on the amount of higher-priced outside energy bought by NIPSCO in 2006 and through much of 2007. More important than the rebates is the benchmarks that sprung from the settlement requiring NIPSCO to now buy electricity at the lowest possible price. [SOUTH BEND TRIBUNE: A 'MINOR' REFUND]

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Published on Mar-10-08


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