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NIPSCO Under Investigation

An investigation by state regulators has been opened to look into discrepancies in NIPSCO's natural gas bills as the Merrillville-based utility installed new automated meters.

The Indiana Utility Regulatory Commission(IURC) initiated the formal investigation after NIPSCO alerted it to issues it had been having with new natural gas meters. NIPSCO has been installing 870,00 new automated natural gas meters across its service territory in northern Indiana.

NIPSCO has been updating natural gas meters with an Advanced Metering Infrastructure Technology that will allow natural gas use to be tracked remotely instead of by sending a utility worker to check it in person.

In an order IURC said"Based on our concern with billing discrepancies that may have occurred as a result of these issues as well as the associated communications with its customers regarding these issues, the effect on NIPSCO’s revenues and rates, and the appropriate customer credits and/or refunds, the commission finds it appropriate to commence this formal investigation into any and all matters relating to NIPSCO’s natural gas customer meters.”

NIPSCO learned of the problem while installing the new meters but the issue is not the result of the new technology, spokeswoman Jessica Cantarelli said.

She went on to say, "We want to assure customers that their safety and accurate billing are our top priorities. NIPSCO identified potential billing discrepancies affecting a limited number of natural gas customers and proactively informed the commission. The issue was discovered during the rollout of NIPSCO’s new Automated Metering Infrastructure but is not related to or caused by this new technology.

IURC General Counsel Beth Heline said in a letter the issue was found with a "not-insignificant number of natural gas meters" and that NIPSCO provided customer bill credits without notice or explanation. The IURC's investigation will review the issues with the meters, any billing discrepancies that resulted, the effect on revenues and rates and appropriate customer credits or refunds.

Cantarelli continued, “We will fully cooperate with the commission's investigation and have already taken steps to verify and correct any impacted bills. Customers do not need to take any action at this time, and we will continue to provide updates as more information becomes available."

A preliminary hearing has been scheduled by the IURC for 12:30 p.m. Jan. 15.

Morning Edition Host/Reporter