The Citizens Utility Board (CUB) is decrying an effort by Ameren to substantially hike rates on gas energy and electric power.
Ameren is asking too much according to CUB.
“In one month, Ameren Illinois has filed for a $160.4 million gas rate hike and a four-year $435.6 million electric increase, and they couldn’t have come at a worse time,” CUB Executive Director David Kolata said in a press release. “This is awful news for Ameren customers who already were suffering under some of the highest electric and gas supply prices in Illinois history as well as earlier Ameren rate hikesCUB will do a thorough review of Ameren’s rate cases, and we will challenge every penny Ameren can’t justify.”
These requests begin separate 11-month rate cases before the Illinois Commerce Commission (ICC). $435.6 million electric rate-hike request (filed Jan. 20) Ameren has received more than $118 million ($57.6 million in January 2022 and $61 million in January 2023) over the last two Januarys, and now it’s back at the table asking the ICC for more.
“We will review Ameren’s proposal carefully, but at first glance, it is clear that the company is asking for an excessive 10.5 percent profit rate for its shareholders,” Kolata said. “Nobody disagrees that the power grid should be properly maintained, but that doesn’t mean Ameren deserves a blank check.”
Kolata also noted that Ameren received a $76 million gas rate hike in Jan. 2021, “and now it wants another big increase.”
“This is too much for customers,” Kolata said. “Natural gas is expensive, it hurts our health and it makes climate change worse. We need to begin to plan for the move away from natural gas to heating alternatives that are cheaper, cleaner, safer and more reliable.”
CUB has created a petition against Ameren’s electric rate hike. “As an Illinois consumer concerned about my electric bills, I urge you to reject Ameren Illinois’ four-year, $435.6 million rate-hike request,” the petition reads. “The punishing increase, which includes an excessive profit rate for shareholders of 10.5 percent, comes at the same time that Ameren is asking for a $160.4 million gas increase.” It noted further that “Making strategically smart, consumer-friendly grid improvements can help save customers money in the long-run, but that shouldn’t mean Ameren gets a blank check.”
CUB also provides energy and gas efficiency tips to help customers lower their bills. The group has been tracking Ameren’s pricing. “Since June 1, 2022, the price for electricity has more than doubled for Ameren customers across Central and Southern Illinois, and that’s expected to cost customers hundreds of dollars in higher power bills over the next year,” CUB said.
The move comes as former House Speaker Michael Madigan prepares for trial over the alleged preferential treatment he gave to the state’s largest electric utility provider ComeEd. In that case, Madigan was indicted on 22 counts of public corruption for an alleged $150 million bribery scheme which included seeking rate hikes for the utility provider.
