Consumer agency looks to reduce planned utility rate hike

MUNSTER, Ind. (AP) - A state agency that represents consumers wants Indiana regulators to significantly reduce a utility's proposed rate increase.

The Northern Indiana Public Service Co. has proposed an increase that could raise a typical customer's electric bill by 11.5 percent.

The (Munster) Times (bit.ly/1nfXBAS ) reports that the Office of Utility Consumer Counselor wants the Indiana Utility Regulatory Commission to reduce NIPSCO's request to nearly one-tenth of the $126.6 million sought in new annual operating revenues.

Indiana Utility Consumer Counselor David Stippler says the utility is financially healthy after a 2011 rate hike. NIPSCO has said it needs the rate increase to pay for more recent upgrades.

The utility is also seeking approval for $1.3 billion in electric system upgrades that could potentially raise customer bills by an additional 7 percent by 2022.

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Information from: The Times, http://www.thetimesonline.com