ComEd says it’s spent $8 million on bill aid

Daily Herald
By Nate Hoekstra
June 6, 2007

SPRINGFIELD — Suburban utility giant ComEd said Tuesday that a company-sponsored electric rate relief program has begun, providing more than $8 million in aid to customers.

However, lawmakers in Springfield continue to debate whether a complete freeze and rollback of how much the companies can charge is a better solution.

So far, ComEd has issued credits between $30 and $240 to more than 200,000 customers as part of a $64 million relief package. ComEd officials said by the end of June more than $15.5 million in relief will be distributed.

But the money being credited to consumers is only a small portion of the offer ComEd currently has on the negotiating table with lawmakers who are still considering freezing rates at 2006 levels and making utility companies refund any money collected this year from higher rates.

In an attempt to prevent a rate freeze and rollback plan from passing, ComEd and downstate utility counterpart Ameren have offered a combined $500 million in relief.

To date, lawmakers key to negotiations have not accepted the offer, but maintain that talks are continuing.

A plan currently in a holding pattern in the Senate would freeze rates and roll them back for three years. Longtime ComEd ally Senate President Emil Jones Jr., a Chicago Democrat, is still opposed to a freeze, but told reporters Tuesday that "if the members vote for that freeze, that’s it."

Several lawmakers have expressed concern that when summer heat begins forcing air conditioners to run on a near-constant basis, higher bills will bring a cry for action.

Some lawmakers have hinted that if the two utility behemoths can combine to offer $1 billion in relief, lawmakers will make a deal.

However, if a freeze is passed, all current aid from the utilities would stop. ComEd has said a rate freeze would be challenged in court and would likely result in bankruptcy.

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