Other Voices
Posting Date: April 17, 2008
ComEd Looking to Raise Your Rates… Again
In these tough economic times, many of us are struggling to pay our bills and afford basic necessities. With utility prices already difficult for many to afford,
ComEd has requested that the Illinois Commerce Commission (ICC) approve a $361.3 million annual increase for its electric customers
You may have already heard about the increase, but ComEd is also trying to tack on supplementary charges that you may not know about. In addition to the $361 million ComEd is seeking on delivery rates, they're also proposing additional surcharges, called "riders." One rider would have people pay the costs of equipment modernization; a second one would have people pay for storm damage costs. Here's the trick: you are already paying for that in your monthly bill, but now ComEd wants to double bill its customers.
Riders create a fast-track for increases without the benefit of looking at the company's overall revenue to see if there are offsetting decreases, unfairly shifting the risk on to customers by allowing these unfair increases outside of a rate case audit. Here's the kicker — they've given no estimates as to how high these surcharges will be.
For AARP members, this is an issue of grave concern, as older adults pay up to 25 percent of their already limited income on utility bills.
Illinois Attorney General Lisa Madigan, the Citizens Utilities Board and other consumer groups share our concerns and believe customers should not be asked to pay for those unnecessary costs. These groups have also vowed tocontinue fighting to ensure that utility customers pay no more than necessary for the services they receive.
Surely, sometimes rate increases are necessary. After all, the cost of doing business increases each year. But ComEd and its parent company Exelon are very profitable businesses. They do not need to pass on to their customers the costs of modernizing their infrastructure or recovering the costs of repairing storm damages.
But ComEd, just like Ameren in the central and southern Illinois, are at it again seeking the ICC's approval for rate hikes and surcharges that would all but wipe out the historic, $1 billion rate relief package won by Illinois consumers last year, and who want to raid the wallets of hundreds of thousands of families, small businesses and seniors who are already struggling with the rising costs of gas, prescription drugs, groceries and other
necessities.
How can they justify asking hard working people to pay more money in rates and surcharges?
AARP is urging the Illinois Commerce Commission to say "no way" to this proposal — because it's going to hit consumers too hard. ComEd's proposal for rate hikes and surcharges must be rejected.
You can do your part in fighting ComEd's rate increases by sending a clear message to the ICC- the average consumer just cannot keep up with skyrocketing utility costs . To let the ICC know you oppose ComEd's proposals, call the AARP Energy Rate Hotline at 1-800-719-3020. It's time that the ICC stands up for consumers and rejects these exorbitant rate increases.