Illinois regulators OK ComEd electric rate increase
ComEd initially proposed an increase of $96.28 million
The Illinois Commerce Commission (ICC) Wednesday issued an order authorizing Commonwealth Edison (ComEd) to increase electric delivery service rates by $95.583 million annually, which is an increase of 3.64 percent.
A residential customer who uses nearly 7,800 kW hours per year would pay about $8.76 more per year, but the impact on an individual customer’s bill will vary depending on the type of customer and amount of energy used. The new rates will be effective with the first January 2018 billing cycle.
ComEd initially proposed an increase of $96.28 million, but the commission made adjustments to the company’s travel costs, outside services cost, industry association dues, and cash working capital.
The commission’s order is a result of a thorough review during the past eight months of the formula rate filing the company made on April 13, 2017. The review involved two main components: 1) a reconciliation of ComEd’s actual 2016 revenue requirements; and 2) a determination of the new revenue requirement that includes the company’s 2017 plant additions. The net effect will be reflected in the rates to be charged in 2018.
Electric distribution rates, for companies like ComEd, are set annually pursuant to the Energy Infrastructure Modernization Act. In 2011, EIMA established a prescribed formula rate procedure for ComEd to recover actual, prudently incurred costs for the delivery of electricity to customers.
More information regarding the rate case may be found in the fact sheet that follows or by clicking here on the ICC website.
A residential customer whose uses about 650 kW hours per month would see their bill increase by about 73 cents or $8.76 a year. Rate change will be reflected beginning with the first billing cycle of 2018.