NiSource Achieves IURC Regulatory Approval for GenCo Strategy

September 24, 2025 at 16:43 PM EDT

With IURC approval, the structure unlocks energy solutions tailored for the data center boom while protecting existing customers, enabling growth and securing long-term value.

NiSource Inc. (NYSE: NI) has received Indiana Utility Regulatory Commission’s (IURC) approval for its NIPSCO Generation LLC (GenCo) declination petition. GenCo is designed to own, build and manage generation assets to serve the growing data center industry in Northern Indiana.

This approval marks a pivotal moment for our company and the region, unlocking GenCo’s ability to protect existing NIPSCO retail customers and best serve data center and other large load customers. GenCo’s strategic pillars include:

Customers First: GenCo was created to shield NIPSCO’s existing retail customers from costs associated with serving new data center customers.
Growth Ready: By operating as a separate entity, GenCo is best positioned to meet the demands of new data center customers quickly and flexibly.
Financial Stability: GenCo enables NiSource to make prudent investments, manage costs effectively and create predictable cash flows.
Future Flexibility: GenCo allows for quick adaptability as energy markets evolve, ensuring that the company can pursue future opportunities on behalf of the region without compromising customer value.

“This is an important step forward to position Northern Indiana at the center of a fast-growing, economically essential industry,” said NiSource President and CEO, Lloyd Yates. “The order reflects confidence in our ability to deliver safe, reliable and affordable energy solutions for our communities. It gives us the tools we need to grow responsibly while ensuring that every decision we make keeps customers front and center.”

IURC’s decision enables GenCo’s to execute on its growth-focused strategy. With this order, NIPSCO is well positioned to power Indiana’s economic growth while protecting the communities it serves – today and tomorrow.

Forward-Looking Statements

This Press Release contains "forward-looking statements," within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). Investors and prospective investors should understand that many factors govern whether any forward-looking statement contained herein will be or can be realized. Any one of those factors could cause actual results to differ materially from those projected. Forward-looking statements in this press release include, but are not limited to, statements concerning plans, strategies, objectives, economic growth, expected performance, expenditures, recovery of expenditures and any and all underlying assumptions and other statements that are other than statements of historical fact. Expressions of future goals and expectations and similar expressions, including "may," "will," "should," "could," "would," "aims," "seeks," "expects," "plans," "anticipates," "intends," "believes," "estimates," "predicts," "potential," "targets," "forecast," and "continue," reflecting something other than historical fact are intended to identify forward-looking statements. All forward-looking statements are based on assumptions that management believes to be reasonable; however, there can be no assurance that actual results will not differ materially.

Factors that could cause actual results to differ materially from the projections, forecasts, estimates and expectations discussed in this Press Release include, among other things: our ability to execute our business plan or growth strategy, including utility infrastructure investments, or business opportunities, such as data center development and related generation sources and transmission capabilities to meet potential load growth; our ability to manage data center growth in our service territories; potential incidents and other operating risks associated with our business; the ability of key suppliers and contractors to timely satisfy their obligations; the impact of applicable tariffs, if any, and other economic factors; the impact of natural disasters or other severe weather events; our ability to construct new generation on-time and effectively and their technological feasibility; capital market conditions, including the availability of credit and our ability to obtain financing on acceptable terms; the ability of customer(s) to implement plans to construct data centers; the impact of public involvement, intervention or litigation with respect to data center projects; any early termination of contract(s) our ability to adapt to, and manage costs related to, advances in technology, including changes in laws and regulations; our increased dependency on technology; impacts related to our aging infrastructure; the success of our electric generation strategy; fluctuations in demand from customers; fluctuations in the price of energy commodities and related transportation costs or an inability to obtain an adequate, reliable and cost-effective fuel supply to meet customer demand; our ability to attract, retain or re-skill a qualified, diverse workforce and maintain good labor relations; our ability to manage new initiatives and organizational changes; the performance and quality of third-party suppliers and service providers; our ability to manage the financial and operational risks related to achieving our carbon emission reduction goals, including our Net Zero Goal, including any future associated impact from business opportunities such as data center development as those opportunities evolve; potential cybersecurity attacks or security breaches; increased requirements and costs related to cybersecurity; the actions of activist stockholders; any damage to our reputation; the physical impacts of climate change and the transition to a lower carbon future; our debt obligations; any changes to our credit rating or the credit rating of certain of our subsidiaries; adverse economic and capital market conditions, including increases in inflation or interest rates, recession, or changes in investor sentiment; economic regulation and the impact of regulatory rate reviews; our ability to obtain expected financial or regulatory outcomes; economic conditions in certain industries; the reliability of customers and suppliers to fulfill their payment and contractual obligations; the ability of our subsidiaries to generate cash; pension funding obligations; potential impairments of goodwill; the outcome of legal and regulatory proceedings, investigations, incidents, claims and litigation; compliance with changes in, or new interpretations of applicable laws, regulations and tariffs, including impacts of state and federal orders on our ability to carry out our business plan and growth strategy; the cost of compliance with environmental laws and regulations and the costs of associated liabilities; changes in tax laws or the interpretation thereof; and other matters set forth in Item 1, "Business," Item 1A, "Risk Factors" and Part II, Item 7, "Management’s Discussion and Analysis of Financial Condition and Results of Operations," of our Annual Report on Form 10-K for the fiscal year ended December 31, 2024 and matters set forth in our subsequent Quarterly Reports on Form 10-Q, some of which risks are beyond our control. In addition, the relative contributions to profitability by each business segment, and the assumptions underlying the forward-looking statements relating thereto, may change over time.

All forward-looking statements are expressly qualified in their entirety by the foregoing cautionary statements. We undertake no obligation to, and expressly disclaim any such obligation to, update or revise any forward-looking statements to reflect changed assumptions, the occurrence of anticipated or unanticipated events or changes to the future results over time or otherwise, except as required by law.

About NiSource

NiSource Inc. (NYSE: NI) is one of the largest fully-regulated utility companies in the United States, serving approximately 3.3 million natural gas customers and 500,000 electric customers across six states through its local Columbia Gas and NIPSCO brands. The mission of our approximately 7,700 employees is to deliver safe, reliable energy that drives value to our customers. NiSource is a member of the Dow Jones Sustainability - North America Index and is on Forbes lists of America’s Best Employers for Women and Diversity. Learn more about NiSource’s record of leadership in sustainability, investments in the communities it serves and how we live our vision to be an innovative and trusted energy partner at www.NiSource.com.

The content of our website is not incorporated by reference into this document or any other report or document NiSource files with the Securities and Exchange Commission (“SEC”).

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