Ameren Illinois implementing Energy Infrastructure Modernization Act

The filing made with the Illinois Commerce Commission uses the performance-based formula rate-setting method

Peoria, Ill., January 4, 2012 — Ameren Illinois, a unit of Ameren Corp., took initial action in the implementation of its modernization action plan that will provide customers with an improved, more reliable and modernized electric distribution system.

Key points of the plan include:

* Investing an additional $625 million in the Ameren Illinois electric delivery system over the next 10 years.

* Creating 450 new jobs during the peak program year.

* Improving service reliability through measurable delivery system improvements, including greater use of advanced distribution system automation, the modernization and expansion of electric substations and the installation of new transformers.

* Benefitting customers by reducing the number of electric service outages as well as the shortening the length of outages that do occur.

* Providing new and expanded ways for customers to take greater control of their energy expenditures, including the deployment of about 750,000 automated smart meters and expanded energy efficiency initiatives.

* Failing to meet the goals will cause penalties to be assessed against Ameren Illinois.

The filing made with the Illinois Commerce Commission uses the performance-based formula rate-setting method. If approved by the ICC, the new rates are expected to take effect in October.

The performance-based formula rate-setting method was made possible when a supermajority of the Illinois General Assembly voted on Oct. 26, 2011, to enact the Energy Infrastructure Modernization Act. Ameren Illinois supported enactment of this legislation.

As a result of the filing, the electric delivery service rate case filed by Ameren Illinois on Feb. 18, 2011, was withdrawn.

The ICC will have 270 days for a complete review of the Ameren Illinois filing. As with previous filings, the ICC staff and other groups and individuals may participate in the ICC rate-setting process as set forth in the ICC's rules.

More in Transmission & Distribution