(WBBM NEWSRADIO) — Consumer watchdogs said natural gas bills in Illinois will go up less than they could have, and they credited a board that was recently overhauled by Governor J.B. Pritzker.
Although the Illinois Commerce Commission (ICC) has approved rate hikes for Peoples Gas, North Shore Gas and NICOR, chairman Doug Scott said new spending limits were placed on the utilities.
Scott said that includes curbing the amount Peoples Gas can spend on a program to modernize natural gas feed lines, known as the “System Modernization Program.”
“A new investigation of SMP, and pauses approval of SMP spending until the commission can determine the optimal method to replace high-risk pipe and the prudent investment level needed to support this effort,” he said.
Under the new limits, Peoples Gas will also be directed to provide more detailed, separated cost reports to the ICC so that the commission will have an easier time ruling on future SMPs.
Abe Scarr is the director of the Illinois Public Interest Research Group.
“The ICC checked them on all of that, lowered their profit rates, lowered their fixed charges — the fixed monthly amount the customer has to pay,” Scarr said. “It was a brand new day with the Illinois Commerce Commission utility regulators.”
Scarr praised the ICC for curbing spending by natural gas utilities.
“Gas customers in Illinois are going to see a rate hike going into January 2024, but they can rest assured that they won’t see future rate hikes quite as big because regulators made very clear that they want to see a change in behavior and they’re holding the gas utilities accountable,” he said.
A statement from Peoples Gas said the company will review the ICC's rulings, as the utility demonstrates its commitment to safety and helping Chicago achieve a "clean energy future."
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