LaPorte County takes step against NIPSCO electric sale
(http://www.post-trib.com/news/246095,lpnipsco.article)
February 7, 2007

LaPorte County has taken the first step against NIPSCO in what could be a united front with visions of a public entity operating the electric portion of the utility with much lower customer rates.

LaPorte County attorney Shaw Friedman said the effort is daunting and could take several years, but he is driven by the possibility.

On Tuesday night, the LaPorte County commissioners passed a resolution -- one that Friedman will try to get adopted in each of the 22 counties in NIPSCO'S service area.

The action targets newspaper reports that NIPSCO'S corporate parent, NiSource, is soliciting prospective purchasers for NIPSCO's electric operations.

Potential buyers include various out of state investor-owned utility holding companies, which may even be targets for foreign investment and control, according to the resolution.

The resolution also outlines fears that a huge conglomerate would pay little attention to the operations of NIPSCO already ranked among the worst by J.D. Power & Associates in customer satisfaction.

Concerns are also outlined that any prospective sale is viewed primarily as a way by NiSource to reduce $6 billion in debt that remains from the 2000 takeover of Columbia Energy.

The resolution asks both the Indiana Utility Regulatory Commission and the Federal Energy Regulatory Commission to give a full and complete review of any proposed sale of NIPSCO's electric operations before approving of such a transfer -- and to oppose such a sale if evidence does not indicate it is in the public interest.

The resolution also seeks a thorough examination on whether NIPSCO's electric operation might be run more effectively and efficiently by a nonprofit public power authority.

The resolution also urges state lawmakers to impose a moratorium on any sale of NIPSCO's electric operations until such time as the public interest of such proposed sale or transfer can be reviewed.


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