Northern Indiana Fuel and Light Seeks to Offer Choice Program Mirroring NIPSCO

Northern Indiana Fuel and Light would offer retail natural gas choice to customers as part of its merger into affiliate Northern Indiana Public Service Company (NIPSCO).

NIFL's proposed rates and riders, "will provide customers with access to a broad array of competitive service options that are currently only available to NIPSCO customers. These service options include adoption of most of the components of NIPSCO' s Alternative Regulatory Plan ('ARP'), the extension of which was most recently approved by the Commission in Cause No. 43837 earlier this year," NIFL said in testimony.

NIFL's proposed tariff is nearly identical to that submitted for NIPSCO in support of its proposed Stipulation and Settlement Agreement in Cause No. 43894, NIPSCO's most recent rate case (Matters, 8/27/10).

Similar to NIPSCO, NIFL would introduce new tariff Rate 445 - Rate for Gas Service, Supplier Aggregation Service (SAS), available to marketers and brokers who: (1) have been designated as a qualified supplier and/or agent by customers who have elected to receive service under Rate Schedules 411 (residential), 421 (general service - small), and 425 (general service - large), and Rate 443 FDTS (Firm Distribution Transportation Service). A qualifying aggregator may aggregate individual customers, on whose behalf the qualifying aggregator is providing gas supply, for nomination, balancing, and load management purposes, at specified points of receipt on the company's distribution system or at specified pipeline interconnections available to the company on its upstream capacity.

Rate 443, Firm Distribution Transportation Service, is a new rate for the transportation of natural gas on a firm basis by NIFL, and is available to commercial and industrial customers (1) who have arranged for a supply of natural gas from a supplier other than the company, (2) whose gas requirements during the most recent calendar year average at least 50 Dth per day, and (3) new customers who certify in writing that their gas requirements will average at least 50 Dth per day. NIFL's current transportation tariffs require usage of at least 100 Dth per day.

Aside from offering the new choice tariff, NIFL would offer optional Rate 451, Fixed Gas Bill Service, to customers remaining on NIFL supply otherwise eligible for service under Rate Schedule 411, 421 and 425.

NIFL would also offer sales customers Rider 481 - Price Protection Service Rider, available to customers otherwise eligible for service under Rate Schedule 411, 421 and 425 and are eligible for service under the Supplier Choice Delivery Service Rider. Customers electing Price Protection Service shall have the ability to choose either a fixed price or a price cap for their commodity service from NIFL.