<ARTICLE> UT
<LEGEND> 
This schedule contains summary financial information extracted from 
financial statements of NIPSCO Industries and is qualified in its entirety by
reference to such financial statements.
</LEGEND>
       
                                                                 
<PERIOD-TYPE>                   3-MOS                  12-MOS            
<FISCAL-YEAR-END>                      DEC-31-1997             DEC-31-1996
<PERIOD-START>                         JUL-01-1997             JAN-01-1996
<PERIOD-END>                           SEP-30-1997             DEC-31-1996
<BOOK-VALUE>                              PER-BOOK                PER-BOOK   
<TOTAL-NET-UTILITY-PLANT>                3,607,264               3,194,788
<OTHER-PROPERTY-AND-INVEST>                231,035                 250,144
<TOTAL-CURRENT-ASSETS>                     523,873                 511,079
<TOTAL-DEFERRED-CHARGES>                   130,358                  86,863
<OTHER-ASSETS>                             303,383                 231,469
<TOTAL-ASSETS>                           4,795,913               4,274,343
<COMMON>                                   534,782                 477,935
<CAPITAL-SURPLUS-PAID-IN>                   90,499                  31,366
<RETAINED-EARNINGS>                        641,424                 591,230
<TOTAL-COMMON-STOCKHOLDERS-EQ>           1,266,705               1,100,501
<PREFERRED-MANDATORY>                       59,396                  61,246
<PREFERRED>                                 85,620                  81,126
<LONG-TERM-DEBT-NET>                       495,460                 403,983
<SHORT-TERM-NOTES>                          87,709                 112,780
<LONG-TERM-NOTES-PAYABLE>                1,113,260                 723,123
<COMMERCIAL-PAPER-OBLIGATIONS>              77,500                 313,205
<LONG-TERM-DEBT-CURRENT-PORT>              111,722                 146,052
<PREFERRED-STOCK-CURRENT>                    1,828                   1,828
<CAPITAL-LEASE-OBLIGATIONS>                      0                       0
<LEASES-CURRENT>                                 0                       0
<OTHER-ITEMS-CAPITAL-AND-LIAB>           1,496,713               1,330,499
<TOT-CAPITALIZATION-AND-LIAB>            4,795,913               4,274,343
<GROSS-OPERATING-REVENUE>                  596,315               1,987,948
<INCOME-TAX-EXPENSE>                        20,208                 107,125
<OTHER-OPERATING-EXPENSES>                 509,480               1,601,640
<TOTAL-OPERATING-EXPENSES>                 509,480               1,601,640
<OPERATING-INCOME-LOSS>                     86,835                 386,308
<OTHER-INCOME-NET>                           3,326                  11,986
<INCOME-BEFORE-INTEREST-EXPEN>              90,161                 398,294
<TOTAL-INTEREST-EXPENSE>                    34,084                 114,435
<NET-INCOME>                                35,869                 176,734
<PREFERRED-STOCK-DIVIDENDS>                      0                     119
<EARNINGS-AVAILABLE-FOR-COMM>               35,869                 176,615
<COMMON-STOCK-DIVIDENDS>                    28,244                 103,981
<TOTAL-INTEREST-ON-BONDS>                        0                  31,847
<CASH-FLOW-OPERATIONS>                     129,908                 321,011
<EPS-PRIMARY>                                 0.28                    1.44
<EPS-DILUTED>                                 0.28                    1.43