(WTVO) — Ameren Illinois says the transition to clean energy standards is what’s behind price increases being proposed by the Illinois Commerce Commission.
Ameren is asking for a $160 million increase in natural gas rates and a $425 million electric rate hike over the next four years.
According to The Center Square, Ameren Communications Director Tucker Kennedy said Illinois’ Climate and Equitable Jobs Act, passed in 2021, which requires the state to transition to clean energy power, is the reason for the increases.
“As we bring on more solar and wind energy sources onto the grid, it is our job to make sure that grid is able to handle those new energy sources,” Kennedy said.
Ameren serves more than half a million customers.
“This will undergo a really thorough regulatory review, so state regulators with the Illinois Commerce Commission will review literally every dollar that we have requested,” Kennedy said.
The Climate and Equitable Jobs act require that major coal and natural gas plants in Illinois close in 2045.
ComEd, which serves northern Illinois, has requested a $1.5 rate hike, saying that it needs to prepare for more electric vehicles, improve its grid system and integrate more clean energy. The Citizens Utility Board, however, said that it will fight the increase request.
The Illinois Commerce Commission will decide whether to approve the request by December.
Last year, the ICC approved a $50 million ComEd increase.