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CUB's Response to Recent ComEd Rate Increase

The Citizens Utility Board (CUB) recently issued a statement addressing the Illinois Commerce Commission's (ICC) ruling on Commonwealth Edison's (ComEd) grid management plan and the accompanying rate increase of $606 million. This decision comes after a long period of negotiation and has significant implications for customers across Illinois.

CUB Executive Director Sarah Moskowitz expressed her concerns regarding the impact of the rate hike on consumers, particularly in light of ComEd's history of excessive spending and previous rate hikes over the last decade. The ICC's ruling, issued on December 19, 2024, approved a grid plan while simultaneously reducing ComEd's original rate hike request, demonstrating a commitment to consumer affordability.

Moskowitz stated, "While we are apprehensive about the effects of any rate increase, we recognize that the ICC's decision to slash ComEd's wasteful spending and decrease its proposed rate hike marks a positive step towards protecting consumers." The 8.905 percent return on equity that the ICC established is substantially lower than the 10.5-10.65 percent that ComEd had initially sought, a move considered excessive by many observers.

This approval allows ComEd to continue enhancing the electric grid, which is vital for maintaining reliable service for the approximately 3.8 million customers it serves throughout the state. However, the implementation of the $606 million rate hike will impact the delivery charges on customer bills, which cover the utility's costs for transmitting electricity.

With the ruling, the ICC also cut down ComEd's planned spending by approximately 25 percent from the original $2 billion request. This substantial reduction underscores the ICC's emphasis on holding utilities accountable while striving to provide affordable energy solutions for residents.

In previous deliberations, the ICC had rejected ComEd's initial grid plan, citing the utility's failure to justify its affordability for consumers. This latest decision represents a response to ongoing concerns about the utility's management practices and overall spending strategies.

In light of the recent developments, CUB reaffirmed its commitment to advocate for consumers and ensure that electric rates remain reasonable moving forward. Under the Climate and Equitable Jobs Act (CEJA), ComEd will be expected to make investments that are both necessary and affordable.

CUB aims to collaborate with regulators, policymakers, and consumer advocates to enforce accountability measures on ComEd, ensuring that future plans prioritize the needs of customers over excessive profit motives. The organization has expressed its determination to facilitate a transition toward a cleaner and more affordable energy future for ComEd customers.

For many customers, any additional increase in rates is especially difficult to manage given the series of hikes experienced in recent years. CUB has successfully saved consumers over $20 billion in past initiatives aimed at blocking unjust rate increases and securing refunds, showcasing its pivotal role in safeguarding public interests.

As Illinois' largest utility, ComEd's performance and regulatory compliance will be crucial in shaping the future of electricity delivery in the state. CUB continues to stand as a vigilant watchdog that fights for affordable utility services and the implementation of effective policies that benefit consumers.

To learn more about how these changes may affect your utility costs, it's important to stay informed and engaged. You can reach out to CUB's Consumer Hotline at 1-800-669-5556 for assistance and further information on this evolving situation.