ComEd customers to see rate increase this summer

Chicago Tribune

19-05-2025

ComEd customers may be feeling the heat this summer after a spike in electricity supply charges goes into effect in June, just in time for air conditioning season.
The cost for an average residential customer is expected to go up $10.60 per month beginning with the July bill, according to ComEd, but the actual increase could run a lot higher depending on actual usage.
Beyond increased demand from data centers pushing up prices, ComEd and the consumer watchdog group Citizens Utility Board are pointing fingers at PJM Interconnection, a Pennsylvania-based regional transmission organization, for dragging its feet in bringing new renewable energy sources online.
'Customers could easily end up paying well over $100 extra on their power bills over the next year and the infuriating fact is that this was a completely preventable situation,' CUB spokesperson Jim Chilsen said during a news conference Monday. 'Because of poor policy at PJM, we will pay higher summer electric bills and big power plant operators will laugh all the way to the bank.'
PJM manages the electricity supply grid for 13 states, including ComEd's 4.2 million customers in northern Illinois. It holds an annual capacity auction for expected reserve electricity needed during peak demand, and last year those supply prices 'skyrocketed,' according to CUB.
The electricity charge for ComEd customers from June through September is expected to be 10 cents per kilowatt hour — up 45% from last summer, according to CUB. The price will change again in October.
The supply charge represents about half of the monthly bill and does not benefit ComEd, which makes its profit on the delivery charges. The average residential ComEd customer pays $108 per month for the total bill, before the expected supply charge increase, the utility said Monday.
'Beginning this summer, the average monthly residential customer bill in the ComEd service territory is expected to rise by about $10.60 due to the annual PJM Interconnection capacity auction held last year,' ComEd said in a statement. 'These costs go into effect in June and will be reflected in the 'supply' portion of customer bills, which ComEd passes on directly to customers with no markup.'
On its website, ComEd said the retirement of fossil fuel plants along with rising demand from data centers, artificial intelligence and electrification puts more pressure on the grid, contributing to higher supply prices. The utility also said delays in renewable energy integration are making it harder to replace lost capacity.
CUB said the backlog of renewable energy providers waiting to connect to the grid rests squarely with PJM.
'There are enough wind, solar and battery projects waiting in line to power all of PJM and bring down prices, but they've been waiting for so long, in many cases, five years or more, that many are in danger of never getting built,' Clara Summers, manager of CUB's grid reform campaign, said at the news conference.
PJM, which is regulated by the Federal Energy Regulatory Commission, said in an emailed statement Monday that procuring power across its 13-state footprint is getting more expensive because 'supply is decreasing on the system and demand is increasing.'
On the demand side, PJM said the proliferation of data centers and the race for AI advancement are leading the charge, along with electrification and the onshoring of U.S. manufacturing. It blames state and federal decarbonization policies for the decreasing electricity supply.
PJM takes no blame, however, for moving too slowly to bring renewable energy sources online.
'In order to shift blame for these price spikes, PJM is being accused of an unwillingness or inability to connect new renewable resources to the grid. PJM reformed its processes in 2022 so that we could safely and more efficiently connect these many smaller renewable resources to the grid,' PJM said in its statement.
CUB said the supply price increase will be somewhat offset by a provision of the state's Climate and Equitable Jobs Act, which requires ComEd to issue a credit when energy prices go above a certain level. According to the consumer group's calculation, the credit will reduce the electricity price by 1.7 cents per kilowatt-hour beginning in June.
In Springfield, legislators are working to address the increasing strain on the energy grid while managing costs for consumers. Legislation could combine several proposed bills offering solutions such as large-scale energy storage, the expansion of nuclear power, limits on utility rate hikes and increased access to solar power into one legislative package by the end of May, according to Jennifer Walling, executive director for the Illinois Environmental Council, one of the groups involved in negotiations.
The legislative proposal follows Gov. JB Pritzker's recent shift in support of expanding nuclear power in the state. Moreover, Walling said that while the IEC opposes nuclear power, it would support it as part of a legislative package.
ComEd customers are already dealing with an increase on the delivery portion of the bill this year. In December, the Illinois Commerce Commission approved the utility's power grid improvement plan, increasing electric bills by more than $600 million over four years.
The approved grid plan will result in an average delivery increase of $1.84 to monthly residential bills each year through 2027, according to ComEd.
The supply spike will add an average of $10.60 per month beginning in July, representing a 10% increase on the total bill for most customers. The costs could run a lot higher as temperatures go up, and Chicago is projected to have a hotter-than-average summer, according to the National Weather Service.
Downstate, Ameren customers may see an even higher increase in their electric bills this summer.
An Ameren spokesperson said the typical customer's monthly summer bill is expected to increase by approximately 18% to 22%, depending on their usage, due to the recent Midcontinent Independent System Operator (MISO) capacity auction. Rates should decrease by October, according to the spokesperson.
'These results highlight the ongoing energy challenge in downstate Illinois and the need for a more robust resource planning process on the state level,' the Ameren spokesperson said.