Inform, Entertain, Inspire
Play Live Radio
Next Up:
0:00 0:00
Available On Air Stations

Northwest Indiana residents' electric bills will go up starting this month

An aerial photo of the R.M. Schahfer Generating Station in Wheatfield.
Courtesy of Google Maps
NIPSCO had planned to close the R.M. Schahfer Generating Station coal plant this year, but said it was unable to do so due to supply chain shortages which prevented the company from adding more solar.

Customers of the northwest Indiana utility NIPSCO will soon see their electric rates go up by about $12 a month. The state recently approved the increase to help pay for new renewable energy projects as well as maintaining the company’s coal plants.

NIPSCO’s Schahfer coal plant was originally supposed to shut down this year, but the company said solar supply chain shortages meant they had to keep the plant online for another two years. The utility expects costs will go down as it retires coal plants.

Consumer advocates with the Citizens Action Coalition said the state will likely see more situations like this from Indiana utilities — where customers have to pay for both new energy projects and old ones. The group said utilities should explore ways to reduce the financial burden on their customers.

READ MORE: NIPSCO asks for rate increase to help transition to renewable energy

Join the conversation and sign up for the Indiana Two-Way. Text "Indiana" to 73224. Your comments and questions in response to our weekly text help us find the answers you need on statewide issues, including this series on climate change and solutions.

As part of a state pilot program, CenterPoint Energy in southern Indiana will be able to pay off the cost of its A.B. Brown coal plant over a longer period of time and at a lower rate. Right now, it’s the only utility allowed to do so.

NIPSCO had originally asked the state to raise rates by about $19 a month. The $12 increase will be phased in over the next two years.

Rebecca is our energy and environment reporter. Contact her at or follow her on Twitter at @beckythiele.

Rebecca Thiele covers statewide environment and energy issues.