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Commerce Commission Approves $270 Million ComEd Rate Hike

For Immediate Release                                           Contacts:   David Irwin (312) 458-3621

Wednesday, September 10, 2008                                     Gerardo Cardenas (312) 458-3609

 

ILLINOIS COMMERCE COMMISSION APPROVES $270 MILLION COM ED RATE HIKE

 

ICC also O.K.’s New Surcharge, Consumers Set to See Higher Bills Starting in January

 

CHICAGO , Illinois – Cash strapped consumers in Illinois won’t get a break anytime soon on their rising utility bills.  Today, the Illinois Commerce Commission (ICC) approved an estimated $270 million ComEd rate hike, also giving the utility company the go ahead to add a new surcharge to bills come January.  AARP is strongly opposed to the ComEd increases.

 

“Older people on fixed incomes and families already coping with soaring health care, grocery and gas costs will bear the brunt of these rate hikes,” said Bob Gallo, AARP Illinois State Director.  “AARP is very disappointed in the Commerce Commission’s decision to put the interests of ComEd above the needs of struggling consumers.”

 

The ComEd rate hikes will come as an increase in service delivery charges on customers’ bills.  A new surcharge will also be added, called the “System Modernization Project rider,” bringing bills even higher by forcing customers to pay for upgrades in technology that may not even improve basic electric services.  The surcharge is for an unspecified amount of money.   

 

AARP members and the public across Illinois protested the hikes - attending community meetings on the issue, signing petitions to oppose the hikes, calling the ICC offices, and speaking out at ICC hearings.   

 

“The public let the ICC clearly know more utility increases are the wrong idea at the wrong time,” added Gallo.  “Today the ICC failed the people of Illinois and largely ignored their collective voices.”

 

While older people can spend nearly 20% of their income on utility costs, a new AARP survey found the problem to be even more severe with:

·          42% of people age 50 and older saying the economic downturn is making it harder to pay for utilities.

·          Nearly 10% of people over 45 earning less than $50,000 saying that home energy costs have led to the disconnection of at least one utility.

 

Consumers claimed one small victory - the ICC denied a ComEd surcharge that would have billed customers for storm related expenses – something already built in to their bills.

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Added: Sep 10, 2008
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