The disclosure and our analysis
Evidence dates
Evidence: NiSource news release dated October 16, 2026 on its agreement with Microsoft; NiSource news release dated June 23, 2026 on Indiana Utility Regulatory Commission approvals for its Amazon agreements. Both read October 26, 2026.
What NiSource disclosed
NiSource serves new large load customers through NiSource Generation Company LLC, or GenCo, a structure it says is designed to protect existing NIPSCO electric customers from incremental costs. [Source 1]
1. **Term:** Microsoft is expected to begin taking electric service under a 20-year term starting in 2028. [Source 1]
2. **Generation:** the GenCo owned pool portfolio will be increased by approximately 1,100 MW, with NIPSCO and GenCo providing transmission and generation infrastructure to serve Microsoft's data center and NIPSCO's customers. The release's subheadline calls this approximately 1,100 MW of new generation resources. [Source 1]
3. **Cost allocation:** NiSource says Microsoft fully funds all generation and transmission required to serve its load. [Source 1]
4. **Storage:** in connection with the agreement, GenCo contracted 600 MW of battery storage under a long-term tolling agreement. An affiliate of AGP Group will develop and build the facility, which joins GenCo's pool of resources serving multiple large load customers. [Source 1]
5. **Customer savings:** NiSource says the agreement raises total expected NIPSCO electric customer savings over the life of its data center contracts to about $1.75 billion, from a previously disclosed $1.4 billion, or as much as $140 per customer each year. These are company estimates. [Source 1]
How to read the megawatts
The 1,100 MW figure is generation added to GenCo's pool, in NiSource's words. It is not the Microsoft campus's critical IT load, its peak demand or a contracted service level, and the release does not say how much of that generation will serve Microsoft versus other load. The 600 MW of battery storage is a separate figure for storage capacity contracted by GenCo. The two should not be added together, and neither tells you how many megawatts of IT Microsoft will run.
Approvals
The October release does not say whether the Microsoft agreement needs or has received Indiana Utility Regulatory Commission approval. Its forward looking statements name regulatory approvals in connection with the agreements, and the ability to comply with any conditions, among the factors that could change the outcome. For NiSource's first GenCo customer, Amazon, NiSource said on June 23, 2026 that the commission fully approved the settlement agreement, the Amazon special contract and the related power purchase agreement on June 17, and that settlement parties agreed to support expedited schedules for future agreements. [Source 1] [Source 2]
Status
On our status vocabulary, the agreement is Announced as of October 26, 2026. Electric service is expected to begin in 2028. The reviewed sources do not establish regulatory approval of this agreement, the campus's construction status, its capacity, or any energization or availability.
Buyer analysis
This is our analysis, not NiSource's. Microsoft joins Amazon as a NiSource GenCo customer, a structure in which, by NiSource's account, the data center customer funds the generation and transmission built to serve it. For Microsoft's campus, the 2028 service date is the useful milestone. For other buyers in northern Indiana, it means new large loads are being lined up with their own funded generation, which may shape how quickly a utility can promise power to the next applicant.
This is a self build hyperscale campus, not colocation inventory. Nothing in the release suggests capacity for third parties. NiSource said more operational and financial detail will come on its third quarter earnings call.
We have not assigned this project to a tracked market. The release places the campus only in northwest Indiana.
