Ex 99.1
                                                   News
                                                   Release

                                                   Vectren Corporation
                                                   P.O. Box 209
                                                   Evansville, IN  47702-0209
FOR IMMEDIATE RELEASE

April 13, 2005

Contact:  Media - Mike Roeder, (812) 491-4143 or mroeder@vectren.com
Investor Relations - Steve Schein, (812) 491-4209 or sschein@vectren.com

                   Vectren Energy Delivery of Ohio Natural Gas
                           Base Rate Increase Approved

Dayton, Ohio--Vectren Corporation (NYSE: VVC) announced today that the Public
Utilities Commission of Ohio (PUCO) approved Vectren Energy Delivery of Ohio's
(VEDO) base rate increase for its natural gas distribution business in 17 west
central Ohio counties. VEDO will implement the new rates as of April 14. New
natural gas base rate increases were implemented for Vectren Energy Delivery's
two Indiana service territories on July 1, 2004 and on December 1, 2004.

The commission's order provides for a $15.7 million increase in VEDO's base
distribution rates to cover the ongoing cost of operating, maintaining and
expanding the approximate 5,200 mile distribution system used to serve more than
310,000 customers, as well as fund customer conservation programs. The ruling
results in an approximate 4.3 percent increase in the total average bill for
residential sales customers who heat their homes with natural gas.

Terms of the commission order include:
     o    a rate increase of $15.7 million;
     o    an authorized return on equity (ROE) of 10.6 percent;
     o    an overall cost of capital of 8.94 percent;
     o    a rate base finding of approximately $245 million;
     o    a new rate design which includes a larger monthly customer service
          charge; and
     o    recovery of annual pipeline integrity compliance costs.

This order completes a process initiated by VEDO in April 2004 and approves the
settlement agreement VEDO filed in late February 2005 with the Public Utilities
Commission of Ohio. This adjustment to increase base rates was the first by
VEDO, including its predecessor, since 1992. Over the past 13 years, investments
to serve VEDO customers have exceeded $135 million and operating expenses
including taxes, health care and labor have increased as well.

The rate order addresses VEDO's "non-gas" costs only, which are listed as "Base
Rate Charges" on a customer's bill. These costs represent between 25 and 30
cents of every dollar paid by customers for their gas service. These "non-gas"
costs are incurred by VEDO to build, operate and maintain the pipes, other
equipment and systems that are used to supply natural gas through VEDO's system
to its customers.

The remaining 70 to 75 cents of each dollar paid to VEDO by its customers
represents the cost of natural gas that VEDO must purchase to meet customer
demands. That gas is purchased in the competitive wholesale market by VEDO on
behalf of its customers subject to ongoing review and oversight by the PUCO
under Ohio's Gas Cost Recovery (GCR) procedures. Under Ohio law and regulation,
VEDO and other Ohio natural gas utilities are not allowed to make a profit on
the resale of gas.

VEDO serves all or a portion of Auglaize, Butler, Champaign, Clark, Clinton,
Darke, Fayette, Greene, Highland, Logan, Madison, Miami, Montgomery, Pickaway,
Preble, Shelby and Warren counties.

Safe Harbor for Forward Looking Statements

This document contains forward-looking statements, which are based on
management's beliefs and assumptions that derive from information currently
known by management. Vectren wishes to caution readers that actual results could
differ materially from those contained in this document. Additional detailed
information concerning a number of factors that could cause actual results to
differ materially from the information that is provided to you is readily
available in our report Form 10-K filed with the Securities and Exchange
Commission on March 2, 2005.

About Vectren

Vectren Corporation is an energy and applied technology holding company
headquartered in Evansville, Indiana. Vectren's energy delivery subsidiaries
provide gas and/or electricity to over one million customers in adjoining
service territories that cover nearly two-thirds of Indiana and west central
Ohio. Vectren's non-regulated subsidiaries and affiliates currently offer
energy-related products and services to customers throughout the midwest and
southeast. These include gas marketing and related services; coal production and
sales; and utility infrastructure services. To learn more about Vectren, visit
www.vectren.com.