Chicago, IL (CAPITOL CITY NOW) – The Citizens Utility Board says a gas rate hike requested by Ameren Illinois is too much.
The Citizens Utility Board claims Ameren Illinois is trying “to win the largest shareholder profit rate of any major gas utility in the state,” and they call it “unjust and unreasonable.
CUB claims the Illinois Commerce Commission is being asked by Ameren to approve a $134 million gas rate hike. In testimony filed with the ICC this month, CUB is asking that $55.8 million of that increase be rejected, alleging that customers are being asked to help increase the utility’s profits, while also tasking with them to pay the legal fees related to the hike.
And, CUB claims it’s not the first time something like this is happening with Ameren.
“In recent years, Ameren has repeatedly sought rate hikes and enjoyed skyrocketing profits, yet the company is back at the table again, pushing for its gas customers to cover an outrageous profit rate for its shareholders,” said CUB Executive Director Sarah Moskowitz, in a news release. “Expert testimony by consumer advocates shows that Ameren’s rate hike is at least triple what the company can possibly justify. We urge the ICC to stand up for gas customers and slash Ameren’s rate-hike request.”
According to reports, Ameren is allocating $226 million in funding to the Low Income Home Energy Assistance Program, or LIHEAP, expected to be available later this year, and as a response to allegations increased rates would be a burden to residents.
CUB is also pushing back on a reported $309 million hike by NICOR Gas, a record high. With much the same argument, they’re asking that utility to cut its rate hike request by about half.
A decision on the rate hike requests is expected by the end of the year. Gas and electric rate hike proposals go through a multi-month investigation of shorts before the commission rules on them.
Ameren has about 816,000 gas customers in Illinois, according to CUB, which says the utility needs to meet state goals for decarbonization.