Illinois Wants to Hike Electric Rates

If you are a resident of Illinois then you need to perk up and listen to the news. That’s because the major utility providers in the state are planning to try to raise your electricity rates. You are probably already paying more than you need to in order to power your Illinois home so you definitely don’t want those bills to get any higher!

Com Ed and Ameren Both Want to Raise Rates

The rate hike could affect nearly all energy customers in the state of Illinois. That’s because both of the major electricity providers in the state (Com Ed and Ameren) are in on the rate hike plan. They specifically want to raise rates on their delivery systems, upgrading them with a $3.6 billion plan, and they want to pass those costs on to you the consumer.

How Much Higher Would Bills Be?

How much of an effect these rate hikes would have on you will depend whether you are a customer of Com Ed or Ameren. Ameren customers are a little bit luckier in that the extra charge would only total approximately $5 per year. That’s a little drop in the bucket compared to the Com Ed customer who would see an increase of approximately $36 per year.

One thing that you need to pay attention to, though, is that there would be the potential for either company to raise rates again in the near future. That’s because these charges would be in addition to any normal rate hikes that the companies could ask for in the next decade.

The Smart Grid as the Goal

The stated purpose of the rate hike is to improve the state’s energy delivery system by creating a smart grid. In theory this would allow customers to reduce their total energy bill through more efficient use of energy. However the costs would cut into total customer savings since they are being passed on to consumers.

Alternatives to Com Ed and Ameren

The majority of residents in the state are going to be affected by this proposed rate hike because the majority of residents still get their energy from the state’s main providers. However you should know that you do have other options. There are smaller energy companies that can offer you electricity at lower rates than the major providers. You can easily switch your bill and receive a lower IL electric bill so that you aren’t affected by any Com Ed or Ameren rate hikes that do occur now or in the near future.


Publish Date: 2011-04-05 12:50:20

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