Natural stimuli display spatiotemporal characteristics that typically vary over orders of magnitude, and their encoding by sensory neurons remains poorly understood. We investigated population coding of highly heterogeneous natural electrocommunication stimuli in Apteronotus leptorhynchus of either sex. Neuronal activities were positively correlated with one another in the absence of stimulation, and correlation magnitude decayed with increasing distance between recording sites. Under stimulation, we found that correlations between trial-averaged neuronal responses (i.e., signal correlations) were positive and higher in magnitude for neurons located close to another, but that correlations between the trial-to-trial variability (i.e., noise correlations) were independent of physical distance. Overall, signal and noise correlations were independent of stimulus waveform as well as of one another. To investigate how neuronal populations encoded natural electrocommunication stimuli, we considered a nonlinear decoder for which the activities were combined. Decoding performance was best for a timescale of 6 ms, indicating that midbrain neurons transmit information via precise spike timing. A simple summation of neuronal activities (equally weighted sum) revealed that noise correlations limited decoding performance by introducing redundancy. Using an evolution algorithm to optimize performance when considering instead unequally weighted sums of neuronal activities revealed much greater performance values, indicating that midbrain neuron populations transmit information that reliably enable discrimination between different stimulus waveforms. Interestingly, we found that different weight combinations gave rise to similar discriminability, suggesting robustness. Our results have important implications for understanding how natural stimuli are integrated by downstream brain areas to give rise to behavioral responses.SIGNIFICANCE STATEMENT We show that midbrain electrosensory neurons display correlations between their activities and that these can significantly impact performance of decoders. While noise correlations limited discrimination performance by introducing redundancy, considering unequally weighted sums of neuronal activities gave rise to much improved performance and mitigated the deleterious effects of noise correlations. Further analysis revealed that increased discriminability was achieved by making trial-averaged responses more separable, as well as by reducing trial-to-trial variability by eliminating noise correlations. We further found that multiple combinations of weights could give rise to similar discrimination performances, which suggests that such combinatorial codes could be achieved in the brain. We conclude that the activities of midbrain neuronal populations can be used to reliably discriminate between highly heterogeneous stimulus waveforms.