MISO Archives | Citizens Utility Board

How data centers are raising our bills in Illinois–and what we should do about it

Elizabeth — Tue, 19 Aug 2025 17:24:27 +0000

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CUB Q&A: Why did Ameren’s electricity price spike this past summer?

Jim Chilsen — Fri, 23 May 2025 20:28:30 +0000

A spike in an electricity “capacity auction” meant that the supply price for Ameren Illinois increased significantly on June 1. Ameren estimated that this increased the average monthly bills of a typical residential customer by 18 percent to 22 percent, or roughly $38 to $46 per month, over the summer. Thankfully, Ameren’s price did go down significantly, as of Oct. 1. Read CUB’s Q&A and visit CUBHelpCenter.com for more information. What happened? In April, the power grid operator known as the Midcontinent Independent System Operator (MISO) announced the results of its latest capacity auction (technically called the “Planning Resource Auction”), covering the 12-month period from June 2025 through May 2026. The auction is how the grid operator secures reserve power in its region, which includes all or parts of 15 states from the upper Midwest through Ameren Illinois’ territory in central and southern Illinois and down to Louisiana. (MISO territory also includes the Canadian province of Manitoba.) In the latest auction, the summer capacity price skyrocketed from $30 per Megawatt-day in 2024 to $666.50 per MW-day this year–a 22-fold increase. MISO’s capacity prices are seasonal, and while they are still elevated compared with the year before for the fall, winter and spring seasons, they do drop significantly after the summer. Below are the seasonal prices from the latest auction (Ameren Illinois is located in MISO’s Zone 4): What exactly are capacity costs? Not only do you pay for the power you use now, but you also pay for power you could use in the future. Capacity refers to extra payments consumers give power plant operators for the commitment to have enough reserve electricity available if demand suddenly spikes. (Think of a hot summer afternoon, when everyone blasts the air conditioning.) Where does a capacity price increase appear on my bill? An increase in capacity prices will affect the supply section of your Ameren bill. For most customers, the capacity cost is one component of Ameren’s per-kilowatt-hour (kWh) supply price. On average, capacity takes up roughly 20 percent of the supply price. (While most customers don’t see capacity costs as a separate line item, participants in Ameren’s Power Smart Pricing program–which charges you a supply price that can change hourly–do see a capacity line item on their bills.) How much will an increase in capacity costs increase Ameren bills? Ameren’s electricity supply rate, also known as the “price to compare,” increased by about 50 percent, to 12.18 cents per kilowatt-hour (kWh), from June through September 2025. Ameren estimated that this higher rate, which includes the supply price, a transmission charge and a “supply cost adjustment,” increased summer power bills by an average of 18 percent to 22 percent, or $37.62 to $45.98 per month for the typical customer (10,000 kWh a year). In October, capacity prices came down from their summer high, and Ameren’s new supply price, for October 2025 through May 2026, was significantly lower: 8.402¢ per kilowatt-hour (kWh) for up to 800 kWh of usage. 7.483¢ per kWh for all electricity usage beyond 800 kWh. The summer price spike had a significant impact on Ameren customers. Unlike with PJM’s capacity […]

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CUB Warns Ameren Customers of June 1 Electricity Price Spike

Elizabeth — Thu, 22 May 2025 15:48:59 +0000

Ameren Illinois’ summer price for electricity will soar by an estimated 50 percent on June 1, the Citizens Utility Board (CUB) warned in a consumer alert Thursday, as the watchdog urged the utility to work with customers struggling to pay their bills so they can keep their power on during hot weather. At a news conference, CUB explained the causes of the price spike – including the regional power grid operator’s new methodology for pricing reserve power that unacceptably raised consumer costs. CUB has launched CUBHelpCenter.com, which has tips on how to get through an expensive summer. While cautioning that pricing has not been finalized, CUB said Ameren has reported that its electricity supply rate, also known as the “price to compare,” is set to increase by about 50 percent, to about 12 cents per kilowatt-hour (kWh) on June 1. This higher rate, which includes the supply price, a transmission charge and a “supply cost adjustment,” will increase summer power bills (June through September) by 18 percent to 22 percent (or an average of $37.62 to $45.98 per month, for a customer who uses 10,000 kWh a year and whose average summer bill is about $209), Ameren has estimated. In October, the price is expected to decrease–to roughly 8 cents to 9 cents per kWh, Ameren said. “We urge Ameren Illinois to work with customers to keep their power on this summer, so they can stay safe and cool,” CUB Executive Director Sarah Moskowitz said. “High bills can be stressful, so we ask people across central and southern Illinois to check on neighbors, friends and family this summer to make sure nobody is taking risks by keeping their homes too hot. Long-term, this price spike just shows we’ve got to keep working for consumer protections for electric customers.” Moskowitz called for passage of the Clean and Reliable Grid Affordability Act (SB2473/HB3779) in Springfield. The bill would implement a number of pro-consumer clean energy policies, including expanding energy efficiency and other programs that help reduce demand. She also said there is a continuing need for reform at the Midcontinent Independent System Operator (MISO), the regional grid operator for all or parts of 15 states from the upper Midwest through Ameren Illinois’ territory in central and southern Illinois and down to Louisiana. CUB provided information about the price spike as well as consumer tips: What’s the cause? The price for reserve power—called “capacity”—skyrocketed in a MISO-run auction that has a major impact on what consumers pay for electricity. In addition to years-long delays in connecting power plants that could help lower prices–which is also a problem with PJM Interconnection, northern Illinois’ grid operator–perhaps the biggest factor in the price spike was that MISO introduced a new pricing methodology that CUB said unfairly compromised affordability in the latest capacity auction. What part of the bill is impacted? Supply, which is the cost of the actual electricity, and transmission. This makes up about a half to two-thirds of bills. Ameren does not profit off this price spike–under law the utility is required to pass supply costs onto customers with no markup. (Ameren profits off […]

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Progress: Maryland legislators pass bill that shines light on utility votes at PJM–Illinois considering similar measure

Jim Chilsen — Mon, 07 Apr 2025 20:22:25 +0000

Maryland legislators have passed a bill that requires utilities to disclose their votes at PJM Interconnection, the nation’s largest power grid operator. The same legislation has passed the Delaware Senate unanimously and is currently active in three other states–and CUB hopes to pass similar legislation in Illinois. For years CUB has been spreading the word that our electric bills are affected not just by the local utility, like ComEd, but also by power grid operators, like PJM. As a Regional Transmission Organization (RTO), PJM coordinates the movement of electricity over large transmission lines and creates the markets in which electric wholesale prices are set for 65 million people from the Midwest to the East Coast. That includes ComEd customers in northern Illinois. PJM is dominated by generators, transmission companies and electric utilities (like ComEd) that vote on power grid policies that have a huge impact on how reliable, clean and affordable our electricity is. But, amazingly, many of those votes are secret. That’s why consumer advocates across the PJM region are pushing transparency legislation. In Illinois, CUB supports House Bill 1802. The legislation would require Illinois utilities like ComEd to submit a report to state regulators revealing the votes they cast at grid operator meetings. They also would have to explain how those votes are in the public interest. This is about healthy democracy and holding utilities and grid operators accountable: Please take Action. This legislation would cover Ameren Illinois and MidAmerican Energy also. Those utilities are part of another power-grid operator called MISO, or the Midcontinent Independent System Operator. Unlike PJM, MISO considers all votes to be a matter of public record, except for the selection or removal of committee chairs and vice chairs. However, it is difficult to track down the voting information, so this bill improves access to information in MISO as well. (You shouldn’t have to be an expert to find voting data.) This idea is gaining traction. Last year, several states, including Illinois, attempted to pass similar legislation and failed. This year, at least eight states pushed it (Delaware, Illinois, Indiana, Maryland, New Jersey, Pennsylvania, Virginia and West Virginia). In a sign of progress, the measure passed the Delaware Senate, and it’s about to become law in Maryland: HB 121, the Utility Transparency and Accountability Act. sponsored by Del. Lorig Charkoudian. “When utilities vote at regional transmission organizations, they have impacts on our clean energy transition and the cost of electricity,” said Rep. Joyce Mason, the chief sponsor of the Illinois bill, said when the idea was first proposed in Illinois last year. “My bill introduces better transparency for how utilities vote in our electric markets, which is part of a healthy democracy. As a legislator, my votes are public – it should be the same for utilities whose votes impact the affordability and cleanliness of our electricity. ” To learn more about our special project to hold PJM accountable, visit our Consumers for a Better Grid website. Also, watch our video and our PJM 101 presentation.

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Op-Ed: Interstate Highways for Affordable Midwestern Power

Jim Chilsen — Wed, 05 Mar 2025 22:44:00 +0000

By Sarah Moskowitz, CUB Executive Director If there’s one thing Chicagoans understand, it’s traffic congestion and how disruptive road closures can be to daily life. Anyone who navigated the construction on the Kennedy Expressway knows how important public infrastructure is for keeping this economy running. (Note: Read the version of this op-ed that appeared in Crain’s Chicago Business.) Much like a functioning interstate highway system is critical to ensuring Illinoisans avoid costly traffic delays, an efficient electricity transmission system is essential to ensuring access to affordable, reliable power. And, like the highway system, it helps to have multiple routes for those electrons to travel to reach consumers, easily bypassing any route closures that could otherwise result in a power outage. Planning and building transmission lines through a regional process with other states is the proven way to ensure the delivery of reliable power from the lowest-cost resources across the Midwest. Our state regulators will soon consider six transmission projects slated to cross portions of Illinois that aim to bolster the state’s electricity grid, delivering at least 2.6 times more benefits compared to costs. These lines serve to strengthen what is essentially the region’s electricity highway, increasing competition on the system by connecting consumers to more affordable resources and reducing overall costs on our utility bills. The Midwest Independent System Operator (MISO) — the grid operator that serves the central and southern parts of the state — approved 18 transmission projects across the region in July 2022 as part of a coordinated, regional long-term planning effort. The Illinois Commerce Commission (ICC) will consider several of these projects in the coming weeks, with construction hinging on the regulators’ approval. In an exciting development, CUB recently joined with Environmental Defense Fund and Environmental Law & Policy Center to reach a ground-breaking agreement with Ameren Illinois to help improve planning through consideration of cutting-edge grid-enhancing technologies. Building transmission in a piecemeal, haphazard fashion is more expensive. Well-planned regional lines enable the development of many low-cost clean energy projects in rural Illinois communities seeking to connect to the Midwestern grid. These lines are also important for ensuring Illinois has adequate power to meet growing electricity demand in the coming years. The North American Electric Reliability Corporation, which oversees the reliability and security of the grid, categorized the region as being at a “high risk” for power supply shortfalls beginning in 2025 during an average summer and winter — with extreme weather events posing an even greater threat. And just like the Kennedy Expressway, upgrading the infrastructure to mitigate these risks won’t happen overnight. In other words, the region needs to start bringing on more power now to avoid potential risks. And approving these new transmission lines is an important first step in enabling new power plants to connect to the grid and help ensure reliability. Illinois ratepayers deserve efficient regional transmission projects that reduce costs and deliver reliability, and significant long-term savings. While transmission isn’t the largest charge on ratepayers’ bills, it is still expensive. That’s why it is imperative that new projects across the region are subject to a rigorous regional planning process […]

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$10.3B renewable energy transmission project long-term response to capacity shortage

Elizabeth — Wed, 27 Jul 2022 15:28:46 +0000

The power grid operator for Central and Southern Illinois has approved a $10.3 billion transmission line project that in the long term will bring more clean energy to the region and help prevent problems that have slammed electric customers with skyrocketing power bills this summer. The project, approved by the Midcontinent Independent System Operator (MISO) on July 25, will add 18 major transmission lines around the central United States and support 53 gigawatts of renewable energy expected to come online starting in 2028. Just one gigawatt is enough energy to power about 750,000 homes, and an MIT study found that interstate transmission coordination and expansion could half the costs of decarbonizing the electrical grid by 2040. The MISO project is the first of an effort of the grid operator’s Long-Range Transmission Planning (LRTP). Fellow consumer advocates say building out transmission is key to grid reliability while transitioning to clean energy. The renewable energy project will help make up for about 50 gigawatts of coal-fired power plants and other aging resources that are shutting down, explains Aubrey Johnson, vice president of system planning and competitive transmission at MISO. The last major transmission buildout MISO approved was its 2011 multi-value transmission initiative. Central and Southern Illinois consumers have seen a 120 percent increase in their power prices this summer, partly because of a dip in electricity supply that sparked a huge jump in the price of capacity–what consumers pay to have enough reserve power when demand is high. Recently, CUB joined with the Illinois Clean Jobs Coalition to hold a news conference urging MISO to fast-track 34 renewable energy generation projects that are awaiting approval by the grid operator. The coalition said MISO’s approval of the transmission project was a step in the right direction. “Today’s action to increase grid reliability and integrate more renewable energy and battery storage in MISO North is a desperately-needed positive step, but MISO must act faster to speed the conversion from dirty, expensive fossil fuels to clean, less expensive renewables,” the Illinois Clean Jobs Coalition said in a statement. “That starts with moving much more quickly to approve 34 solar and wind projects presently sitting in MISO’s queue.” In other power grid news, the Illinois Commerce Commission (ICC) called for a cost-benefit analysis of Ameren Illinois shifting from MISO to the PJM Regional Transmission Organization, or RTO. (Read CUB’s Capacity Market Explainer for background on RTOs.) CUB is pleased the ICC is doing a cost-benefit analysis, and the consumer watchdog group looks forward to seeing the results to determine the best option for Ameren Illinois’ 1.2 million electricity customers. For more information about high energy prices, please visit www.CUBHelpCenter.com.

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With energy prices skyrocketing, advocates urge power grid operator to stop delays on new generation

Jim Chilsen — Fri, 22 Jul 2022 17:14:56 +0000

Illinois legislative leaders and CUB are urging the power grid operator in Central and Southern Illinois to fast track renewable energy projects that could reliably power 4.5 million homes and help relieve energy problems in the region. At a news conference July 21, legislative leaders criticized the Midcontinent Independent System Operator (MISO), the multi-state entity that manages the generation and transmission of electricity across Central and Southern Illinois. The region is suffering through a price spike currently, connected to global issues and a huge jump in the price for reserve power (also called capacity costs) that MISO blamed on an increase in electricity use and a dip in power supply. (See the TV coverage of the news conference, and watch it yourself.) But there currently are 34 solar and wind projects capable of generating more than 6,000 megawatts of energy awaiting approval in MISO’s queue. That’s enough to power 4.5 million Illinois homes. MISO’s foot-dragging could keep these projects languishing for years, the leaders said. MISO has been slow to act, and has instead raised the possibility of controlled power outages if there’s not enough electricity available. Ameren Illinois, the electric utility, has responded that it’s optimistic it will be able to keep the lights on this summer. Still, fossil fuel interests and their allies have used MISO’s comments as an opening to wrongly blame these problems on the Climate and Equitable Jobs Act (CEJA) and push for re-opening the nation-leading clean energy bill. “The answer to capacity and price issues is not to reopen CEJA, but rather to move quickly to implement it and get existing renewable projects online faster. That starts with MISO ensuring we get those 34 projects capable of generating 6,000 megawatts of renewable energy on the grid. If Ameren customers ever find themselves in the dark, MISO’s inaction is to blame. They are asleep at the switch,” said State Senator Cristina Castro, the chief Senate sponsor of CEJA. “Rather than quickly bringing new energy resources on to the grid, MISO is now trying to shift blame, warning of potential power outages this summer in Central and Southern Illinois, an apocalyptic and misleading view that even Ameren disputes. Fossil fuel interests and entrenched energy lobbyists are jumping on MISO’s blame game and calling for a return to the days when coal and gas generated most of Illinois’ electricity, even as fossil fuel prices skyrocket, emissions pollute our communities, and the planet burns,” said State Representative Ann Williams, chief House sponsor of CEJA. “Going back to coal and gas is like pouring gasoline on a fire in terms of hiking energy prices and polluting our communities,” Williams added. Advocates pointed out that MISO has known the transition from dirty, expensive fossil fuels to clean, less expensive renewables has been coming since at least 2007, when Illinois passed its first Renewable Portfolio Standard (RPS) that has only been accelerated by other initiatives. “For years, MISO has known this transition was coming, through the advent of the renewable portfolio standard and multiple rounds of legislation, including the Future Energy Jobs Act in 2016 and CEJA in 2021,” said Jim Chilsen, director of communications […]

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New Ameren supply rate

Matt — Fri, 26 May 2017 18:09:51 +0000

People have been calling CUB wanting to know what Ameren’s new summer power price will be. Now we know! The price, effective June 1, is: 5.369 cents/kilowatt-hour (kWh) What you need to know: *If you are an Ameren supply customer—meaning if you are NOT with an alternative supplier—this is what you pay for the actual electricity you use beginning June 1. This price is good through September. *This is Ameren’s “price to compare.” Use this to compare rates with alternative electricity supplier offers. This price includes Ameren’s electricity price plus the “transmission services charge.” *The supply part of your bill makes up a half to two-thirds of your costs. The rest is taken up by delivery costs.

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What’s happening to your Ameren power bills?

Jim Chilsen — Wed, 27 Apr 2016 20:26:50 +0000

Read this Q&A about your Ameren power bills and take our quick poll. So what’s happening to my Ameren electric bill? Two developments in April could impact your Ameren power bill. First, Ameren announced that it has asked the Illinois Commerce Commission (ICC) for a rate cut of about $14 million. This will impact the delivery part of your bill, what you pay Ameren to deliver electricity to your home. The supply side of your bill also could go down slightly. An electricity auction that sparked a 30 percent price spike last year is expected to lead to lower prices this year, after CUB and other consumer advocates pushed for reforms. How much will my bill go down? Ameren has not said how much the delivery decrease will reduce bills. But Ameren estimated the lower supply price could save people about $21 over the next year. When would these rate cuts take effect? The lower supply price would take effect on June 1. The $14 million delivery decrease would take effect Jan. 1, 2017. Why are Ameren’s delivery rates going down? Ameren determines electric delivery rates annually by formula, under a law the Illinois General Assembly passed in 2011 to pay for about $600 million in power-grid upgrades. Under the formula rate system, Ameren received a $105.8 million rate hike in 2016. The ICC will issue a final ruling on rates this December. Why are Ameren supply rates going down? The Midcontinent Independent System Operator (MISO) is the power grid operator for all or parts of 15 states, including Central and Southern Illinois. It holds a yearly auction to determine “capacity” costs for the next year (June 1-May 31). Capacity costs are fees wrapped in electricity prices that ensure power plants produce enough energy when demand is high. In the 2015 auction, Illinois’ capacity cost increased nine-fold to $150/megawatt-day. That caused a 30 percent increase in Ameren’s supply price. CUB and other consumer advocates called for an investigation. (The increase led to a windfall for power generators, but Ameren, the regualted utility, doesn’t profit off supply rates.) Later, a federal ruling required MISO to make key changes to auction rules. In this spring’s auction, capacity costs for Illinois consumers were cut in half. What does CUB think about these developments? Read CUB’s statement, and take our quick poll about your power bills.

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Why Northern Illinois should care about the rate hikes in Central and Southern Illinois

Jim Chilsen — Tue, 09 Jun 2015 16:30:56 +0000

Lately we’ve been discussing an Illinois electricity auction that sparked a 12-35% price spike for many Central and Southern Illinois customers. The spike was due to an increase in capacity prices—what consumers pay to ensure power plants can deliver electricity on the highest-demand days of the year. Every spring, MISO (the power grid operator in Central/Southern Illinois) holds an auction to determine capacity costs for the next year. In the latest auction, Illinois’ capacity cost turned out to be more than 40 times higher than the other 14 states in MISO territory. That sparked higher rates for those in Central and Southern Illinois. If you live in Northern Illinois, you may be wondering why this matters to you. After all, Northern Illinois belongs to a different power grid operator, PJM. But PJM hosts a similar auction to determine capacity costs. And if you haven’t noticed yet, Northern Illinois already pays the highest rates in the state. Clearly, something is wrong with the way electricity prices are set across all of Illinois– and we need to get to the bottom of it. The Illinois Attorney General and consumer advocacy group Public Citizen petitioned the Federal Energy Regulatory Commission (FERC) last week to overturn MISO’s auction. The Illinois Senate also passed Resolution 623 asking FERC, the Illinois Commerce Commission (ICC) and the Illinois Power Agency to independently review capacity auctions and determine why “the rules and market design have not protected Illinois ratepayers from significant increases.” FERC responded by asking interested parties to comment on the price spike. CUB has been encouraging all Illinoisans— whether you live in Chicago or Decatur— to ask FERC to investigate the rate hike and make the process of setting electricity prices across Illinois more fair.

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