{"id":42931,"date":"2025-05-22T10:48:59","date_gmt":"2025-05-22T15:48:59","guid":{"rendered":"https:\/\/www.citizensutilityboard.org\/?p=42931"},"modified":"2025-05-22T16:28:22","modified_gmt":"2025-05-22T21:28:22","slug":"cub-warns-ameren-customers-of-june-1-electricity-price-spike","status":"publish","type":"post","link":"https:\/\/www.citizensutilityboard.org\/blog\/2025\/05\/22\/cub-warns-ameren-customers-of-june-1-electricity-price-spike\/","title":{"rendered":"CUB Warns Ameren Customers of June 1 Electricity Price Spike"},"content":{"rendered":"

Ameren Illinois\u2019 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<\/a><\/strong>, 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.<\/p>\n

At a news conference, CUB explained the causes of the price spike \u2013 including the regional power grid operator’s new methodology for pricing reserve power that unacceptably raised consumer costs. CUB has launched CUBHelpCenter.com<\/a><\/strong>, which has tips on how to get through an expensive summer.<\/p>\n

While cautioning that pricing has not been finalized, CUB said Ameren has reported that its electricity supply rate, also known as the \u201cprice to compare,\u201d is set to increase by about 50 percent, to about 12 cents per kilowatt-hour (kWh)<\/strong> on June 1. This higher rate, which includes the supply price, a transmission charge and a \u201csupply cost adjustment,\u201d 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\u2013to roughly 8 cents to 9 cents per kWh, Ameren said.<\/p>\n

\u201cWe urge Ameren Illinois to work with customers to keep their power on this summer, so they can stay safe and cool,\u201d CUB Executive Director Sarah Moskowitz said. \u201cHigh 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\u2019ve got to keep working for consumer protections for electric customers.\u201d<\/p>\n

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\u2019 territory in central and southern Illinois and down to Louisiana.<\/p>\n

CUB provided information about the price spike as well as consumer tips:<\/p>\n

What\u2019s the cause?<\/strong> The price for reserve power\u2014called \u201ccapacity\u201d\u2014skyrocketed 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\u2013which is also a problem with PJM Interconnection, northern Illinois\u2019 grid operator\u2013perhaps 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.<\/p>\n

What part of the bill is impacted?<\/strong> 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\u2013under law the utility is required to pass supply costs onto customers with no markup. (Ameren profits off rate hikes on the delivery side of bills.)<\/p>\n

If Ameren doesn\u2019t profit off this spike, who does?<\/strong> Big energy companies that sell electricity to utilities.<\/p>\n

Moskowitz outlined key consumer tips on CUBHelpCenter.com<\/a><\/strong>:<\/p>\n