By: Katherine Newman |
ComEd recently filed their annual formula rate update with the Illinois Commerce Commission (ICC). The new rates call for a $23 million decrease overall, compared to the currently approved rates. If approved, the new rates would appear as a 50 cent decrease on customers monthly bills.
“Our filing includes a rate request for distribution services, or delivery of electricity, in 2019 of $2.7 billion. This represents the decrease of $23 million from the ICC approved rate that took effect in January of this year. It will result in the decrease of about 50 cents on the average monthly residential customer bill. This is the third time we have filed for a rate decrease since the smart grid law was passed,” said Veronica Gomez, senior vice president of Regulatory and Energy Policy at ComEd.
This is the eighth formula update filing ComEd has made since the Energy Infrastructure Modernization Act (EIMA) also known as the Smart Grid Law was passed by the Illinois General Assembly in 2011. It is also the third filing that has called for a rate decrease since the Smart Grid Law was enacted, according to a press release from ComEd.
Along with helping to decrease residential rates, the Smart Grid Law has paved the way for ComEd’s $2.6 billion investment to strengthen, modernize, and improve the reliability of the Northern Illinois power grid.
“By the end of October of this year, we will complete the installation of about 4 million smart meters in Northern Illinois. This is about 3 years ahead of the original schedule. This means that all ComEd customers can realize more control over energy consumption and cost and have easier access to money saving smart meter programs much sooner than expected,” said Fidel Marquez, senior vice president of Governmental and External Affairs at ComEd.
The new digital smart grid platform has also allowed for ComEd to install smart LED streetlights throughout the greater Chicagoland area.
“These lights reduced costs and provided more remote moderating control. They also provide a backbone for smart city infrastructure through the installation of sensor-based technology and open the door to a broad range of smart city technologies,” said Marquez.
The recent annual formula rate filing also included an advancement of $205 million from anticipated savings in 2019 as a result of the federal tax cut and jobs act.
“In this filing, we have proposed to the ICC that we advance into 2019 with savings that customers would realize through the lower tax rates. The formula ratemaking process allows for such timely distribution of savings. It also would help to extend the stable rate environment that we have had for some time since before the smart grid program came and launched,” said Gomez.
Although ComEd’s smart grid investments and other major initiatives have created a total spending of almost $12 billion since 2011, customer bills have remained stable. ComEd’s per kilowatt hour residential rates trend below the average price across the entire U.S., according to a press release from ComEd.
For more information on tOhio regulators say utilities can’t keep federal tax cuthe Northern Illinois smart grid, visit www.comed.com.