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Phased-in NIPSCO gas rate increase takes effect Oct. 1

NIPSCO customers can expect higher natural gas rates per month. The new rates will take effect October 1. Photo courtesy MGN

MERRILLVILLE, Ind. (AP) — Higher natural gas rates for Northern Indiana Public Service Co. will take effect Oct. 1 and cost the average residential customer about $8 more per month when fully phased in.

NIPSCO said Thursday the Indiana Utility Regulatory Commission approved the new rates this this week after the company reached an agreement with the Indiana Office of Utility Consumer Counselor and industrial customers.

The agreement cut NIPSCO's original request by $48.9 million, limits the monthly residential customer charge increase to $3 instead of a proposed $8.50, and phases in the new rates over the next two years. The utility had proposed raising the average residential customer's bill by $10 per month.

NIPSCO's electric rates are not affected.

NIPSCO serves about 820,000 natural gas customers and 460,000 electric customers across 32 counties.

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