Ameren Archives | Citizens Utility Board

CUB statement on Ameren Illinois’ $48 million electric reconciliation rate hike

Jim Chilsen — Fri, 19 Dec 2025 00:03:36 +0000

The following is a statement from CUB Executive Director Sarah Moskowitz: We’re glad state regulators reduced wasteful and inappropriate spending and shaved about $11 million off of Ameren Illinois’ electric rate-hike request. But the utility still received an increase of about $48 million, and we’re concerned about customers being unable to afford their utility bills among so many cost increases for other necessities such as food and healthcare. Under state regulatory law, Ameren is allowed to petition state regulators for extra money if it goes beyond what it has budgeted for capital projects. CUB supports ending this reconciliation benefit for utilities. If Ameren blows through its budget in a given year, customers shouldn’t have to pay the excess. Background: On Thursday, Dec. 18, the Illinois Commerce Commission (ICC) granted Ameren Illinois a rate hike of about $48 million as part of an 8-month “reconciliation” case (Docket 25-0382). Last year, Ameren won a $308.6 million increase, spread out through 2027. However, a provision in state regulatory law allows Ameren to petition the ICC to recover extra expenses in yearly “reconciliation” cases, if they go over-budget on capital expenditures. In its reconciliation case, Ameren pushed for another $59.6 million. (CUB opposes utilities having this reconciliation benefit.) Over the course of the case, consumer advocates, including CUB and the Illinois Attorney General’s Office, uncovered at least $14 million in wasteful spending in Ameren’s reconciliation proposal. A history of Ameren Illinois rate hikes in recent years: 2023: The ICC rejected Ameren’s first attempt at a four-year rate plan in 2023–in part because the utility didn’t do enough to show how the plan would be affordable or beneficial to customers. The utility got a smaller rate hike ($56 million) than it wanted. 2024: Ameren proposed a new plan last year, and the ICC approved a $308.6 million increase, spread out through 2027. 2025: The ICC approved an additional $48 million rate hike, as part of an 8-month reconciliation rate case. The rate hike will take effect before the end of the year.

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CUB Challenges Ameren’s $59.6 Million Electric Rate-Hike Request

Elizabeth — Wed, 03 Dec 2025 17:17:43 +0000

A year after receiving a significant electric rate hike, Ameren Illinois is back before state regulators hoping to increase its delivery rates by an extra $59.6 million, the Citizens Utility Board (CUB) said Monday. The Illinois Commerce Commission (ICC) last year approved a $308.6 million Ameren electric rate increase, phased in over four years, but a provision in state regulatory law allows the utility to petition the ICC to recover extra expenses in yearly “reconciliation” cases, if they go over-budget on capital expenditures. “We will always challenge wasteful spending by the utilities,” CUB Executive Director Sarah Moskowitz said. ”And, while consumer protections have improved, we support ending this reconciliation benefit for utilities. If Ameren blows through its budget in a given year, customers shouldn’t have to pay the excess.” The ICC rejected Ameren’s first attempt at a four-year rate plan in 2023–in part because the utility didn’t do enough to show how the plan would be affordable or beneficial to customers. Ameren proposed a new plan last year, and the ICC approved a $308.6 million increase, spread out through 2027. Now, in its reconciliation case (Docket 25-0382), Ameren wants another $59.6 million. Consumer advocates, including CUB and the Illinois Attorney General’s Office, have uncovered at least $14 million in wasteful spending in Ameren’s reconciliation proposal. Below are examples of unreasonable spending in Ameren’s proposal, CUB argues: $62,928 to cover expensive outside contractors for work on a nearly $775,000 project that the utility had originally planned to handle internally. (Note: Ameren claims CUB should have to prove this spending was unnecessary, but that’s burden-shifting: The utility is the one asking for a legal remedy [more money] and therefore has to explain why it was so necessary to hire outside workers.) $200,000 to cover an unexplained increase in meter-reading expenses. Given that most customers have new digital meters that can be remotely read–as opposed to old meters that require manual reading–these costs should be going down, not up. $10.8 million to “reimburse” Ameren shareholders for employee retirement benefit fund contributions the utility cannot prove its shareholders made. Ameren has repeatedly, and unsuccessfully, tried to foist this expense on customers in regulatory cases. But Ameren, apparently, hasn’t gotten the message and is once again trying to force its customers to foot the bill for this expense. In early November, the regulatory judges issued a “proposed order” in the case–which is their recommendation on how the ICC should rule. The proposed order backed about $9.8.million in reductions for Ameren. The five-member Commission can follow the regulatory judge’s recommendations, or adjust them up or down, as they see fit. The final ruling is expected no later than Dec. 20, with rates taking effect shortly after. CUB called for Ameren customers to sign a petition urging regulators to say no to wasteful spending in the reconciliation case.

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CUB Reacts To ICC Making Significant Cut To Ameren Gas Rate Hike

Elizabeth — Wed, 19 Nov 2025 20:26:28 +0000

CUB issued the following statement Wednesday in response to the Illinois Commerce Commission (ICC)’s ruling on Ameren Illinois’ gas rate-hike request: Any heating bill increase is too much for Ameren’s more than 800,000 gas customers, who have already been hit by four rate hikes in the last seven years – a period when profits for the utility’s gas operations have ballooned by a whopping 112 percent. At a time when Ameren is experiencing such unbridled prosperity, it shouldn’t be forcing its customers into more economic hardship. Against this backdrop, we’re thankful that state regulators responded by derailing Ameren’s bid to raid consumers for costs that were blatantly inflated and unwarranted. In shrinking Ameren’s requested $129 million increase by more than 40 percent, the ICC’s ruling today exceeds the reduction recommended by two administrative law judges last month by an ample margin and reaffirms the Commission’s commitment to holding utilities accountable for justifying every expense they attempt to charge consumers. With winter heating season in full force, and prices for groceries and health care putting a squeeze on household budgets, conditions for consumers are extremely fragile. We urge state regulators to continue to crack down on profit-mongering by Illinois’ gas utilities so no one is forced to choose between paying for fuel to heat or food to eat. Background: On Nov. 19, 2025, the Illinois Commerce Commission (ICC) issued a final order in Ameren Illinois’ proposal (Docket #25-0084) for a $128.8 million rate hike. The order reduced Ameren’s rate hike by 43 percent, or $55.8 million, making the final increase about $73 million. Among the proposals in Nicor’s rate-hike request, CUB challenged the utility’s attempt to capture an outrageous 10.7 percent Return on Equity (ROE), or profit rate for shareholders. The ICC’s final order reduced the ROE to 9.6 percent. This is Ameren’s fourth rate hike since 2018. In that time, the gas utility has raised delivery rates by $202 million, or 50 percent. Plus, the utility’s parent company, Ameren, has increased profits by 45 percent for a total of $6.9 billion, and Ameren Illinois’ gas segment has seen its profits more than double. Today’s increase adds to the total rate hikes since 2018. This increase, which will take effect before the end of the year, impacts delivery rates. Delivery rates, which take up about a third to a half of gas bills, are what the utilities charge customers to cover the costs of delivering gas to homes—plus a profit. The original rate hike was expected to hit customers with an average bill increase of roughly $8-$10 per month. The ICC order means bills will still go up, but not as much as Ameren wanted. Customers having trouble paying their bills should contact their utility to find out about assistance available. They also can call the Help Illinois Families call center, at 1-833-711-0374, to learn more about the Low Income Home Energy Assistance Program (LIHEAP). Ameren Illinois delivers gas to more than 800,000 customers in Illinois. The electric and gas utility covers more than 1,200 communities and 43,700 square miles in Illinois.

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ComEd ($268.5 million), Ameren ($59.6 million) push for extra delivery rate hikes

Elizabeth — Fri, 07 Nov 2025 18:50:51 +0000

In an already-expensive year of spiking electricity supply prices, Commonwealth Edison and Ameren Illinois are pushing to increase another part of our power bills, delivery charges, by a total of $328 million. The Illinois Commerce Commission (ICC) last year approved four-year rate plans for both ComEd and Ameren, but a provision in state law–which CUB opposes–allows the utilities to recover extra expenses in yearly “reconciliation” cases, if they go over-budget on capital expenditures. Consumer advocates can challenge the utilities’ proposals in these reconciliation cases before the ICC. “We will always challenge wasteful spending by the utilities,” CUB Executive Director Sarah Moskowitz said. ”And, while consumer protections have improved, we support ending this reconciliation benefit for utilities. If ComEd and Ameren blow through their budgets in a given year, customers shouldn’t have to pay for it.” Here’s the latest on those reconciliation cases. ComEd (Docket 25-0383) Background: ComEd received a $500 million rate hike in 2023–much smaller than what the company wanted–and the ICC ordered them to come up with a new four-year plan to make improvements to the grid. Eventually, ComEd won an additional $606 million rate hike, spread out through 2027. In its latest reconciliation case, the utility claims it went over budget by $268.5 million in 2024, and is entitled to recover that money from their customers. CUB’s take: Consumer advocates have uncovered at least $125 million in wasteful spending in ComEd’s proposal. Below are examples of unreasonable ComEd spending that, CUB argues, customers shouldn’t have to foot the bill for: $9.3 million in spending to fix ComEd’s billing system, which still isn’t working correctly. ComEd broke it, CUB says, customers shouldn’t have to pay to fix it. $7.6 million to build out the grid in preparation for a data center project that didn’t go online until the following year–and had less than half the energy demand than what ComEd had built out its system for. (This example speaks to why Illinois needs to have more protections in place for when utilities build and spend based on claims by data center developers that later turn out to be inaccurate.) A $5.8 million incentive payment ComEd says it deserves for hitting an affordability-metric target, set by the Climate and Equitable Jobs Act (CEJA), that aims to reduce disconnections in certain Zip Codes. CUB argues ComEd doesn’t deserve the money since the utility’s error-prone billing system prevented it from disconnecting customers for nonpayment for much of 2024. ComEd shouldn’t get to benefit from its failures. A $3.5 million incentive payment ComEd argues it deserves for hitting a CEJA performance-metric target for customer service. CUB argues there’s no justification for ComEd to get the money since, amid the billing-system problems, the utility lost the data necessary to prove its claimed improvement. $2.5 million in underexplained spending over their budget on operations and maintenance costs. $1.5 million to help resolve legal claims for injuries and property damage about which ComEd refused to provide specific information. Ameren (Docket 25-0382) Background: The ICC rejected Ameren’s four-year rate plan in 2023, awarding a fraction ($56 million) of what the utility wanted and ordering them to […]

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CUB Issues Alert Against Bad Alternative Supplier Deals

Elizabeth — Wed, 05 Nov 2025 14:54:47 +0000

In the wake of a significant drop in Ameren Illinois’ price for electricity, the Citizens Utility Board (CUB) put out a warning against bad alternative supplier deals Wednesday. The watchdog urged consumers to review the “Electric Supply” section of their bills to confirm they are not overpaying with an expensive alternative supplier offer, including supplier offers negotiated by local governments. CUB stressed that it is likely that Ameren Illinois’ supply price is your best bet. Ameren’s non-summer power price (October 2025 through May 2026): 8.402¢ per kilowatt-hour (kWh) for up to 800 kWh of usage. (Appears as 0.08402 on your bill.) 7.483¢ per kWh for electricity usage beyond 800 kWh. (Appears as 0.07483 on your bill.) The prices above include the supply price + a transmission charge + a supply cost adjustment. Please be advised: Ameren’s non-summer price represents a more than 30 percent reduction from Ameren’s supply price over the summer. Consumers can choose to stay with Ameren Illinois for supply or go with an alternative supplier. Among the choices in the market, many communities have “municipal aggregation” offers that local leaders have negotiated with an alternative supplier. If you go with an alternative supplier, you still get a bill from Ameren, with the alternative supplier charges included. To see if you’re with another supplier, look in two places on Ameren bills: “Electric Supply” and “Details From Your Electric Supplier.” If a company other than Ameren Illinois is listed, you are with an alternative supplier. In the “Electric Supply” section, you should be able to see the per kWh price you’re paying with that supplier. See how it compares with the Ameren supply price CUB lists above. If you want to end the offer, call the alternative supplier using the phone number for the company that is listed in the “Details From Your Electric Supplier” section. It can take up to two months to switch back to your utility. If you think you were fraudulently signed up, tell the supplier you want a refund. If you don’t like the supplier’s response, file a complaint with CUB, at 1-800-669-5556. A recent CUB review of state electricity choice reports revealed that Illinois consumers have lost more than $2 billion to alternative electricity suppliers over the last decade. In Springfield, CUB will continue to push for reforms, such as House Bill 1284, which would require a customer signature if the supplier wants to increase its rate at the time of auto renewal.

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Regulatory opinion favors cutting Ameren gas rate hike by $44 million, half the reduction consumers are due, watchdogs say

Elizabeth — Thu, 16 Oct 2025 15:51:53 +0000

A $128.8 million gas rate hike proposed by Ameren Illinois would shrink by about one-third, under a recommendation pending before the Illinois Commerce Commission (ICC). But consumer advocates said Thursday that state regulators should cut much deeper when they issue a final ruling on the threat of another stinging increase in heating bills that comes as Ameren profits have been booming. [Sign CUB’s petition against the Ameren rate hike.] Gas affordability has become such a concern that on Nov. 1, weeks before the ICC’s final ruling in the rate case, several advocacy groups plan to hold a forum to discuss a decade of chronic gas rate hikes from Ameren and the future of gas utilities in Illinois. After a summer when Ameren customers also dealt with skyrocketing electricity prices, the utility’s proposed increase in heating bills would be its fourth in seven years, exacerbating a pattern that has caused its gas delivery rates to spiral by $202 million, or 50 percent, during that period. It would also generate another lucrative cash infusion for both Ameren’s gas segment and the utility’s parent company, which have recorded staggering profit increases of 112 percent and 45 percent, respectively, over the same period. In the latest development in the gas rate case, an opinion, known as a “Proposed Order,” that was submitted to the ICC late last week by administrative law judges advises the ICC to trim $43.7 million from Ameren’s hefty rate hike. Consumer and environmental advocates have collectively urged the ICC to wield a much sharper axe to Ameren’s haul, arguing that it should be slashed by the maximum the law permits, roughly $82 million, at least. “The regulatory judges’ Proposed Order reinforces that Ameren’s rate hike is significantly inflated and must be cut, but it still falls short of giving consumers their just due,” CUB Executive Director Sarah Moskowitz said. “By accounting for only about half the unwarranted costs Ameren has proposed, we hope this opinion is a catalyst for the ICC to police even harder against the excesses still embedded in this rate hike. With winter looming and the fallout from rising energy prices already afflicting households across Illinois, consumers are depending on state regulators to act as the strongest possible bulwark against Ameren’s profiteering.” “We applaud the recommendation to cut Ameren’s proposed rate hike by more than $40 million,” said Illinois PIRG Director Abe Scarr. “But utility regulators at the Illinois Commerce Commission can do more to limit the impact of Ameren fourth rate hike since 2018.” “The proposed order takes some steps to hold Ameren accountable to reduce costs for consumers, but we urge the Commission to adopt more affordable and effective approaches that could drive costs down even further,” said Curt Stokes, Senior Attorney for Environmental Defense Fund. “Going forward, regulators should prioritize proven, practical solutions like the zonal electrification pilot—not waste funds on ineffective efforts like Ameren’s renewable natural gas proposal.” Ameren, which has 816,000 gas customers in Central and Southern Illinois, originally proposed a $134 million rate hike in January — a sum that has been pared slightly to $128.8 million in its current filing with the […]

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CUB Alerts Ameren Illinois Customers: Utility’s Price for Electricity has Dropped 31 Percent as of October 1st

Elizabeth — Wed, 01 Oct 2025 16:11:35 +0000

After a hot, expensive summer, Ameren Illinois’ new price for electricity has dropped by more than 30 percent as of Oct. 1, the Citizens Utility Board (CUB) said in a consumer alert Wednesday. The watchdog urged consumers to review the “Electric Supply” section of their bills to confirm they are not overpaying with an expensive alternative supplier offer, including supplier offers negotiated by local governments. Ameren’s new non-summer power price (from October 2025 through May 2026): 8.402¢ per kilowatt-hour (kWh) for up to 800 kWh of usage. (Appears as 0.08402 on your bill.) 7.483¢ per kWh for electricity usage beyond 800 kWh. (Appears as 0.07483 on your bill.) The prices above include the supply price + a transmission charge + a supply cost adjustment. The fall supply price of 8.402¢ per kWh (for the first 800 kWh of usage) represents a 31 percent reduction from the utility’s summer supply price of 12.18¢ per kWh, and is around what Ameren’s supply price was before the summer spike. “CUB is relieved that Ameren’s price has dropped significantly,” CUB Executive Director Sarah Moskowitz said. “But we remain deeply concerned that far too many people could be paying much higher prices because they are with an alternative supplier—and that includes people on their community’s ‘municipal aggregation’ offer. Please check the supply section of your bills to see if you’re paying a higher rate with a company other than Ameren.” Consumers can choose to stay with Ameren Illinois for supply or go with an alternative supplier. Among the choices in the market, many communities have “municipal aggregation” offers that local leaders have negotiated with an alternative supplier. Moskowitz stressed: It is likely Ameren is your best bet for electricity supply. A recent CUB review of state electricity choice reports revealed that Illinois consumers have lost more than $2 billion to alternative electricity suppliers over the last decade. If you go with an alternative supplier, you still get a bill from Ameren, with the alternative supplier charges included. To see if you’re with another supplier, look in two places on Ameren bills: “Electric Supply” and “Details From Your Electric Supplier.” If a company other than Ameren Illinois is listed, you are with an alternative supplier. In the “Electric Supply” section, you should be able to see the per kWh price you’re paying with that supplier. See how it compares with the Ameren supply price CUB lists above. If you want to end the offer, call the alternative supplier using the phone number for the company that is listed in the “Details From Your Electric Supplier” section. It can take up to two months to switch back to your utility. If you think you were fraudulently signed up, tell the supplier you want a refund. If you don’t like the supplier’s response, file a complaint with CUB, at 1-800-669-5556. Additional information and tips are below. What part of the bill is impacted by this change? Supply, which is the cost of the actual electricity. This makes […]

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Alert: One-time $150 grants available for income-qualified Ameren customers, while funds available

Jim Chilsen — Thu, 28 Aug 2025 21:29:01 +0000

In a difficult summer of spiking electricity prices, Ameren Corp.–the parent of Ameren Illinois–has announced that income qualified customers who have fallen behind on their energy bills can apply to receive a one-time $150 grant, while funds are available. This support is coming from an Ameren program that is providing $4 million in assistance to agencies in Illinois and Missouri. Ameren customers who qualify for LIHEAP can apply for the $150 grant from Ameren through their local Illinois LIHEAP agency. “We encourage customers who have fallen behind on their bills to reach out to a local LIHEAP agency to determine their eligibility and apply for funding,” said Joe Solari, vice president of customer experience at Ameren. Ameren Illinois’ summer electricity price shot up about 50 percent on June 1, increasing 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. Ameren’s price is expected to decrease from more than 12 cents per kilowatt-hour (kWh) to about 8-9 cents per kWh on Oct. 1. Read CUB’s Q&A and visit CUBHelpCenter.com for more information. To identify your local LIHEAP agency and determine your eligibility for a grant, visit Help Illinois Families or call 1-833-711-0374 while funds are available. Ameren listed other financial and energy-saving opportunities: Events: In September and October, Ameren Illinois will host events to connect customers to available funding and provide consultation on in-home energy saving strategies. Energy Efficiency: Learn about energy-saving opportunities, including an income-qualified Home Energy Assessment, at AmerenIllinoisSavings.com/SaveMoney. Energy Assistance: LIHEAP (Low-Income Home Energy Assistance Program): Income qualified customers can apply for financial help through LIHEAP when the new season begins on Oct 1. Ameren says: “In addition to receiving a onetime benefit on your energy bill, LIHEAP eligible customers will automatically be approved for a credit on their monthly gas bill through the Natural Gas Service Discount program. Also, deposit and late payment charges will be waived.” For a comprehensive list of energy assistance programs, bill payment options and money-saving resources, visit AmerenIllinois.com/PathToSavings.

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ICC forums in Springfield, East St. Louis give Ameren Illinois customers chance to protest utility’s push for fourth gas rate hike in just 7 years

Elizabeth — Thu, 28 Aug 2025 21:04:21 +0000

Illinois Commerce Commission forums in Springfield and East St. Louis give Ameren customers an opportunity to speak out against their utility’s $131.1 million gas rate-hike request–what would be the fourth rate hike the company has received in less than a decade. The ICC’s forums were requested by Illinois PIRG. One was held in Springfield Wednesday night, Aug. 27, and another was scheduled for East St. Louis Thursday night, Aug. 28. Consumer watchdogs, including PIRG and the Citizens Utility Board (CUB), have warned that Ameren’s rate-hike plan would raid consumers for nearly triple the amount the utility can possibly justify under state law. Representatives of CUB and PIRG will be available for interviews in advance and on-site. Those who couldn’t make the forums can voice opposition to the rate hike by signing a petition or filing a public comment with the ICC at CUBActionCenter.com. More than 2,600 petition signatures and public comments have been collected to date. Ameren filed for its gas rate hike in January, sparking an 11-month rate case before the ICC (Docket #25-0084). The proposal would raise average monthly residential customer bills by roughly 12 to 13 percent, or $8 to $10 per month, according to Ameren’s original public notice. Ameren customers have expressed frustration with the company’s escalating bills. This would be Ameren’s fourth rate hike since 2018. In that time, the gas utility has raised delivery rates by $202 million, or 50 percent. In that same time period (2018-2024), the Illinois utility’s parent company, Ameren, has increased profits by 45 percent for a total of $6.9 billion, and Ameren Illinois’ gas segment has seen its profits more than double. “This gas rate hike will be a hardship for Ameren customers,” said Scott Allen, CUB’s energy policy specialist. “Ameren has been treating its customers like an ATM, hitting them with $200 million in rate hikes in less than a decade–and now the utility wants a fourth increase and the highest shareholder profit rate of any major gas utility in Illinois. When is enough, enough? We urge the ICC to slash Ameren’s rate-hike request.” “Despite Illinois’ move towards clean energy, Ameren is proposing to continue spending heavily on fossil fuel infrastructure. This business as usual approach has already led to significant rate increases for Ameren customers,” said Illinois PIRG Director Abe Scarr. “It’s important that regulators and Ameren hear directly from consumers, whose high utility bills are just one among many rising cost pressures.” The Illinois Attorney General’s Office and consumer advocates such as CUB and PIRG have argued that Ameren’s rate-hike request is unjust and unreasonable. CUB and the Illinois Attorney General alone have uncovered about $82 million in overcharges. Taking all consumer advocates’ recommendations into account, the rate hike should be cut by about two-thirds, at least. Examples of problems advocates have identified: Excessive profit rate for shareholders. Ameren proposed an increase in its “return on equity” (ROE)—or profit rate for shareholders—from about 9.44 percent to 10.7 percent. That would give the company the highest ROE among major gas utilities in Illinois, and it would needlessly cost customers $29.9 million a year. To make matters worse, Ameren’s proposal to spread […]

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Update on Ameren’s gas rate-hike request

Elizabeth — Tue, 26 Aug 2025 18:26:25 +0000

Since we first reported on Ameren Illinois’ gas rate-hike request in January, the utility has adjusted its rate hike. Here’s a quick review: Ameren’s Rate-hike Request: The company has adjusted the amount from about $134.4 million to $131.1 million. It’s not unusual for a rate-hike total to be adjusted as an 11-month case proceeds before the Illinois Commerce Commission (ICC). Impact on Customers: Ameren said originally its increase would raise average monthly residential customer bills by roughly 12 to 13 percent, or $8 to $10 per month. The numbers are estimated to be similar to that, despite the decrease in the overall total of the hike. What Consumer Advocates says: CUB has uncovered about $61 million in overcharges in Ameren’s proposed rate hike, which is about 46 percent of the total request. When you include recommendations from consumer advocates such as the Illinois Attorney General’s Office, Illinois PIRG and Environmental Defense Fund, the reductions total about $82 million. That means the testimony of consumer advocates shows that Ameren’s rate-hike request is nearly triple what the company can possibly justify. CUB focused on the following issues: Return on Equity. Ameren proposed an increase in its “return on equity” (ROE)—or profit rate for shareholders—from about 9.44 percent to 10.7 percent. That would give the company the highest ROE among major gas utilities in Illinois. CUB argues for a more reasonable 9.45 percent ROE, which would reduce the rate hike by $29.9 million. Capital Structure. CUB’s expert testimony also found problems with “capital structure”—basically how it finances infrastructure projects. Ameren wants to raise its “common equity ratio”—how much of the utility’s financing comes from issuing stocks—to 52 percent. CUB’s testimony recommends keeping it at its current level, 50 percent, which would reduce the rate hike by another $5.8 million. Rate-case Expense. Under Illinois law, utilities are allowed to recover expenses for outside lawyers and expert witnesses in rate cases. It is already offensive that Ameren customers have to pay for pro-utility lawyers and consultants who argue for increasing their bills, but adding insult to injury, CUB’s testimony revealed that Ameren’s accounting treatment of these costs would likely result in customers being double- or triple-charged for these fees—or worse—between now and Ameren’s next gas rate case. Correcting this practice would reduce the rate hike by another $1.8 million. (Note: In Springfield, CUB is working for a reform that would bar utilities from charging customers for this and other expenses that should instead be covered by shareholders.) The remainder of CUB’s financial adjustments related to the utility’s questionable forecasts for gas sales, inflation and cash working capital, which is the amount of money Ameren has available to fund day-to-day operations. Among the findings of other advocates: EDF and PIRG argued for the ICC to reduce planned transmission spending by up to $84 million, because the utility failed to adequately justify its spending. EDF, PIRG and the Illinois Attorney General also found that Ameren frequently replaces transmission pipes, which drives up its profits and customer bills, when other, less expensive compliance measures are viable. EDF and PIRG recommended that the ICC reject a proposal to subsidize […]

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