Energy Deregulation in Indiana
Indiana offers their energy at a lower rate compared to other states. Even before deregulation, Indiana residents enjoyed lower electrical bills than residents of many other states. Currently, 90% of the state’s energy comes from coal, while the remaining 10% comes from natural gas.
In 1998, the Indiana Utility Regulatory Commission allowed residents to choose their own energy provider. The Commission no longer regulates common energy carriers, as it did before energy deregulation, but instead oversees more than 600 utility providers operating in Indiana. This includes electric, natural gas, and steam.
Since deregulation in 1998, everyone in the state, from residential to industrial, may get their power from a supplier rather than their utility provider.
Many of the companies that have set up shop in Indiana since Energy Deregulation was approved are partnered with the state’s utility provider: Northern Indiana Public Service Company (NIPSCO). Companies would purchase the power from NIPSCO and offer it to customers at a more affordable price. This partnership is called the NIPSCO Choice Program. It gives customers the ability to choose a seller that can fit their family and business needs and budget.
Areas of the state covered by NIPSCO are not mandated to get their power from the utility. Instead, they are allowed to choose a different provider if they can’t afford the cost of getting from the utility itself.
Thanks to this setup, everyone in Indiana can come home to a warm house and enjoy basketball on TV at the end of the day without having to worry too much about their energy bills.
Quick Energy Facts about Indiana
- No state-based appliance standard. Other energy deregulated states encourage their residents to help the environment in any way they can. However, this is not true for Indiana residents as the state does not impose a state-based appliance standard. This means residents and businesses can continue using their products how they see fit, regardless of the appliance’s age.
- Indiana is the 6th largest ethanol producer in the nation. 1.2 billion gallons of fuel ethanol per year, or about 7% of the country’s supply, comes from Indiana plants.
- Does not require utilities to produce renewable energy. If utilities can produce renewable energy and offer it to their clients, they may. But the state of Indiana does not require the utilities to do so.
- Note that wind power provided 7% of Indiana’s utility-scale electricity net generation in 2020. However, solar, biomass, and hydropower combined account for less than 2% of generation in 2020.
- No greenhouse gas cap. The state of Indiana does not impose a cap on greenhouse gas emissions. This means automobiles, factories, and others can continue to do their thing as they see fit.
- Buildings are required to meet energy standards. Appliances may not have an efficiency standard to meet, but new buildings, both commercial and residential, must meet the silver LEED Standard.
- Observer of the Midwestern Regional Greenhouse Gas Reduction Accord (MRGGRA). Indiana is not a direct member but rather a mere observer of the happenings on the MRGGRA. Because they are not members of the accord, they are not bound by any of its agreements, unlike the official members.
Indiana Electric Utility Company
Indiana Electric Utility Company
Northern Indiana Public Services Co., LLC
Northern Indiana Public Services Company has more than 821,000 natural gas customers and is known all around as one of the biggest natural gas distributors in the country. They are based in Merrillville, Indiana, and are one of the seven energy distribution companies affiliated with NiSource Inc.
Business Address: 801 E 86th Ave, Merrillville, IN 46410
Customer Service: 800-464-7726
Map of US Energy Deregulation
Indiana is one of 26 US States that have some form of energy deregulation whether it be electricity, natural gas or both. Use our interactive map to get more information on deregulated energy states in America.