Chicago, IL – The Illinois Commerce Commission (ICC) has approved Ameren Illinois’ refiled multi-year grid plan (2024-2027) with modifications. The Commission approved $83 million in investments and system improvements needed to strengthen power grid reliability and support the ongoing electrification of the state’s power system. The decision cut the utility’s proposed $333 million in spending by approximately 75 percent.
The Climate and Equitable Jobs Act (CEJA) required the state’s largest investor-owned electric utilities to file grid plans designed to accelerate progress toward Illinois’ clean energy goals and hold electric companies accountable for their performance.
“After extensive review, the Commission is confident that both Ameren and ComEd have the tools necessary to make needed investments to drive the clean energy transition and continue modernizing Illinois’ electric grid. These plans are a key component to meeting the goals of CEJA and represent significant improvement in meeting its requirements,” said ICC Chairman Doug Scott. “The investments approved today will deliver significant benefits to the utilities’ customers in an affordable, cost-effective manner.”
Ameren was required to refile its grid plan earlier this year after the ICC rejected the utility’s initial proposal in 2023, finding the original plan failed to comply with several consumer affordability and cost effectiveness components of CEJA.
“Grid planning is not a one-time task. It is a dynamic, iterative process that will require continued refinement and adaptation in future grid plans,” said ICC Commissioner Stacey Paradis. “The grid of the future will be shaped by emerging technologies, evolving regulatory review, and changing energy demands. To meet these challenges, the utilities, ICC staff, advocacy groups, and other stakeholders must continue to work together.”
Ameren’s grid plan is consolidated with its multi-year rate plan (2024-2027) to determine which system maintenance and upgrade costs can be passed on to ratepayers at a reasonable cost. In accordance with the Public Utilities Act, these costs are only recoverable if the utility demonstrates they are reasonable and prudent.
The ICC’s decision reduced Ameren’s rate increase request by 7 percent for an overall increase of
$309 million. It also approves a 8.715 percent return on equity (ROE) for the company, down from Ameren’s requested 9.27 percent ROE.
The impact of the decision on individual customers will vary based on service class and energy usage.
The ICC has issued its decision after closely scrutinizing Ameren’s refiled grid plan and additional materials submitted by the utility, ICC staff, and various intervenors over a nine-month legal proceeding, as well as multiple stakeholder workshops. Ameren was required by CEJA to conduct a
robust, transparent stakeholder process in the design of its grid plan. In preparation for its refiled plan, the utility conducted over 30 hours of discussions with 15 different stakeholder organizations via various sessions and one-on-one discussions.
More information regarding Ameren’s multi-year integrated grid plan can be found in Dockets No. 22- 0487/24-0238.
About the Illinois Commerce Commission
The Illinois Commerce Commission (ICC) is a quasi-judicial body made up of five Commissioners. Through its Public Utility Program, the Commission oversees the provision of adequate, reliable, efficient, and safe utility services at the least possible cost to Illinois citizens served by electric, natural gas, telecommunications, water, and sewer public utility companies. Through its Transportation Regulatory Program, the Commission oversees public safety and consumer protection programs with regard to intrastate commercial motor carriers of general freight, household goods movers, relocation towers, safety towers, personal property warehouses, and repossession agencies. The Commission’s Rail Safety Program also inspects and regulates the general safety of railroad tracks, facilities, and equipment in the state.
To learn more about the Commission, its offices, and bureaus, click here. If you are a consumer who needs help resolving a utility dispute call 800-524-0795 or file an online complaint here. For a complaint related to transportation, call 217-782-6448.
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