Special report: Illinois consumers in 2025 are being threatened with rate hikes on both sides of the bill—supply and delivery—as big energy companies and utilities
push for windfall profits.
Energy Price Spikes
In April alone, most Illinois utilities saw gas prices jump by up to 104 percent, compared to last year. In the current volatile gas market, prices could remain elevated through 2026.
On June 1, ComEd and Ameren electricity prices are expected to rise. ComEd has estimated customers could pay $10.50 a month more, on average.
What part of my bill is impacted? Supply, which is the cost of the actual gas/electricity. This makes up about a half to two-thirds of bills.
What’s the cause? With gas, there are multiple factors, including extreme winter cold and profit-hungry U.S. gas companies exporting record amounts of the fuel overseas.
With electricity, the price for reserve power—called “capacity”—has skyrocketed. That’s largely because of poor policies undertaken by the regional power grid operators—PJM Interconnection in ComEd territory and MISO in Ameren territory. PJM especially has been slow to fix a clogged “interconnection queue”—the line of more modern power plants, including clean and affordable wind and solar, waiting to connect to the grid.
Who profits? Big energy companies that sell gas/electricity to utilities are making a killing. For example, power generators that serve PJM recently saw their capacity revenue jump six-fold to $14.7 billion.
Utility Rate Hikes
Utilities that received rate hikes in 2023 are back at the table. Nicor Gas wants the largest gas rate hike in Illinois history: $309 million. Meanwhile, Ameren Illinois is pushing for a $134 million gas hike, and Peoples Gas is expected to ask for one this year or next. Last year, Commonwealth Edison, Ameren (electric), Illinois American Water and Aqua Illinois won rates hikes totaling more than $1 billion.
What part of my bill is impacted? Delivery, what the utility charges to deliver gas to homes—plus a profit. This takes up about a third to a half of bills.
What’s the cause? Utilities try to pour a significant amount of money into bloated, unnecessary projects, and seek a higher return on their investments. In these rate cases, CUB works to expose wasteful spending and inflated utility profit rates.
Who profits? The utilities. Since 2017, Nicor has raised delivery rates by 114 percent, totaling $747 million, and its parent, Southern Co., has raked in $25.2 billion in profits. Ameren Illinois has raised gas rates by $202 million, or 50 percent, since 2018, and the utility’s parent, Ameren, has made $6.9 billion. In the current rate cases, Ameren (10.7 percent) and Nicor (10.35 percent) both want to win excessive shareholder profit rates. (Read about the “painful history” for Illinois gas customers.)
CUB’s response
CUB’s staff is working hard to offer critical, free services:
Before state regulators: In testimony due this May, CUB is challenging the Nicor and Ameren rate hikes. We have helped save consumers $20 billion over our history, including $145 million last year.
Before state legislators: CUB is fighting for utility reforms to bring down costs. One example is the Clean and Reliable Grid Affordability Act, which would expand efficiency programs and require energy-guzzling data centers—and not us customers—to pay their own energy costs.
Before federal regulators: CUB is fighting to reform power grid operator PJM so it relies less on outdated, expensive power plants and works to bring down energy prices with clean, affordable energy. (Read about our work in the Consumers for a Better Grid campaign.)
Across Illinois: CUB is holding free events to educate people on how to lower their bills. Our Consumer Hotline (1-800-669-5556) is assisting Illinois consumers in their complaints against utilities.
