MERRILLVILLE – Due to current market price projections for natural gas and assuming normal winter weather, NIPSCO natural gas customers could expect to see increased costs this winter compared to last year, which is a trend across much of the country.
Each year, NIPSCO and other Indiana energy providers provide a forecast for home heating bills during the upcoming cold weather season. Projections take into account market forecasts, supply trends and storage levels, and are based on normal weather projections. If temperatures are colder or warmer than normal, usage amounts and bills could differ.
NIPSCO has been the lowest natural gas cost provider in Indiana on average over the last 10 years according to IURC comparisons (Source: Indiana Utility Regulatory Commission’s 2021 Residential Bill Survey).
There are two primary components of natural gas bills – the cost of the natural gas itself and the cost of delivering the natural gas to customers. For the cost of natural gas itself – which is largely dependent upon the market prices – NIPSCO does not control these costs; the company passes them directly through to customers with no markup and does not profit on that portion of the bill. Before billing, natural gas commodity costs must be reviewed and approved by the Indiana Utility Regulatory Commission(IURC). Keeping costs down related to the delivery of natural gas to homes and businesses is essential, and NIPSCO is actively working to institute technologies and other system improvements to create long-term efficiencies for the benefit of customers.
Over the course of the upcoming five-month winter heating season — Nov. 1 to March 31 — NIPSCO’s average natural gas residential customers using 630 therms could expect to pay approximately $590 total. This compares to $422 last winter, and it represents about a $168 difference (40 percent) or $34 per month on average from Nov. to March.