94TH GENERAL ASSEMBLY
State of Illinois
2005 and 2006
HB5868

 

Introduced 11/28/2006, by Rep. Carolyn H. Krause - Tom Cross - William B. Black

 

SYNOPSIS AS INTRODUCED:
 
220 ILCS 5/16-111.4 new

    Amends the Electric Service Customer Choice and Rate Relief Law of 1997 in the Public Utilities Act. Creates the Illinois Residential Rate Relief Act. Requires an electric utility, based on the number of residential customers, to provide a rate phase-in plan to residential customers for the period subsequent to the mandatory transition period. Provides that unrecovered costs of purchasing power and energy to serve residential customers during the period between January 2, 2007 and December 31, 2009 may be deferred for future recovery. Provides that the deferred amounts shall be recovered over a 3-year period beginning in calendar year 2010 and ending in calendar year 2012 for those customers who are part of the rate phase-in plan. Requires electric utilities, based on the number of residential customers, to contribute money toward energy efficiency programs, the purchase of renewable energy, assistance for senior citizens, and bill assistance to low-income customers. Provides that an electric utilities may not increase the electric rates, defer costs, or charge interest to residential customers that were customers prior to July 1, 2006, of all electric home service. Provides that residential customers of all electric home service shall be eligible for the rate phase-in plans beginning in calendar year 2008. Effective immediately.


LRB094 22106 MJR 60736 b

FISCAL NOTE ACT MAY APPLY
HOUSING AFFORDABILITY IMPACT NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB5868 LRB094 22106 MJR 60736 b

1     AN ACT concerning regulation.
 
2     Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
 
4     Section 5. The Public Utilities Act is amended by adding
5 Section 16-111.4 as follows:
 
6     (220 ILCS 5/16-111.4 new)
7     Sec. 16-111.4. Illinois Residential Rate Relief Act.
8     (a) This Section may be referred to as the Illinois
9 Residential Rate Relief Act.
10     (b) An electric utility must provide its residential
11 electricity customers an electric rate phase-in plan for the
12 period subsequent to the mandatory transition period as
13 follows:
14         (1) An electric utility serving 2,000,000 or more
15     residential customers must provide its residential
16     customers a phase-in plan that limits residential rate
17     increases for electric services in calendar year 2007 to 7%
18     of the average rate charged in calendar year 2006; in 2008
19     to 7% of the average rate charged in calendar year 2006;
20     and in 2009 to 8% of the average rate charged in calendar
21     year 2006.
22         (2) An electric utility serving more than 100,000 and
23     less than 2,000,000 residential customers must provide its
24     customers a rate phase-in plan that limits residential rate
25     increases for electric services in calendar year 2007 to
26     14% of the average rate charged in calendar year 2006; in
27     2008 to 14% of the average rate charged in calendar year
28     2006; and in 2009 to 14% of the average rate charged in
29     calendar year 2006.
30     (c) Unrecovered costs of purchasing power and energy to
31 serve residential customers during the period January 2, 2007
32 through December 31, 2009 that otherwise would have been

 

 

HB5868 - 2 - LRB094 22106 MJR 60736 b

1 charged shall be deferred for future recovery. Deferred amounts
2 shall be recovered over a 3-year period beginning in calendar
3 year 2010 and ending in calendar year 2012 from residential
4 customers that are part of the rate phase-in plan.
5     (d) Electric utilities that are required to provide a
6 rate-phase in plan under subsection (b) of this Section must
7 also make the following contributions:
8         (1) An electric utility serving 2,000,000 or more
9     residential customers must contribute $25 million toward
10     energy efficiency programs and the purchase of renewable
11     energy, of which $4 million is to assist senior citizens,
12     $3 million in additional bill assistance to customers who
13     qualify for the State's Low Income Home Energy Assistance
14     Program, and $3 million in assistance to those low-income
15     customers who do not qualify for the State's Low Income
16     Home Energy Assistance Program.
17         (2) An electric utility serving more than 100,000 and
18     less than 2,000,000 residential customers must invest $6
19     million toward energy efficiency programs and $9 million in
20     low-income assistance programs.
21     (e) During calendar year 2007, electric utilities may not
22 increase the electric rates, defer costs, or charge interest to
23 residential customers that were customers prior to July 1,
24 2006, of all electric home service. Residential customers of
25 all electric home service shall be eligible for the rate
26 phase-in plans under subsections (b) and (c) of this Section
27 beginning in calendar year 2008.
 
28     Section 99. Effective date. This Act takes effect upon
29 becoming law.