Illinoisans using electricity suppliers other than ComEd and Ameren Illinois have lost about $297 million over the last year and $1.8 billion since 2015, according to a consumer advocate’s report released Tuesday.
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Illinois residents and businesses who have chosen electricity suppliers other than ComEd and Ameren Illinois have lost about $297 million over the last year and $1.8 billion since 2015, the Citizens Utility Board reported Tuesday.
The report, which cites state data on electricity competition, warns that consumers should be aware of alternative suppliers offering their services door to door, via mail and over the phone.
“Far too many Illinois consumers have suffered skyrocketing power bills because of an alternative electricity supplier,” CUB Executive Director Sarah Moskowitz said in a news release. “Going with an alternative offer pitched by a sales rep is a gamble you are likely to lose. There are more reliable ways to reduce electric bills, including energy efficiency.”
While ComEd and Ameren — which serves downstate Illinois — deliver electricity to their customers over the power lines they own, state law allows customers to choose another company to supply the electricity.
As of May, about 1.37 million Illinois residential consumers were with another supplier, a 22% increase from last year, CUB reported.
According to the Illinois Commerce Commission’s Office of Retail Market Development’s 2024 annual report, CUB says, ComEd customers who were with an alternative supplier on average paid about 3 cents per kilowatt-hour more than ComEd’s supply price.
Customers in Ameren territory who were with an alternative supplier paid about 2.4 cents per kWh more on average, according to the report, which covers June 1, 2023 through May 31, 2024.
According to CUB, many consumers saved money by switching to alternate suppliers from June 2011 through May 2014. But in the decade since, those competing suppliers have had difficulty beating the utilities’ supply rates.
CUB recommends residents check the “Supply” section of their electric bills to see if they are paying for an alternative supplier. If another company is listed there, visit CUB’s Electric page at citizensutilityboard.org/electric to compare the latest utility supply prices.
Other tips from CUB:
● Be wary about giving your bill or your account number to just anybody. An unethical sales representative who sees your bill can get your account number and sign you up for an offer without your permission.
● There’s no need to sign up at your doorstep, even if a sales rep is pushing a “today-only” offer. High-pressure tactics are a red flag. Ask for documentation about the offer so you can study it on your own time. A reputable salesperson should have no problem leaving you information.
● Make sure the alternative supplier offer is not an introductory rate that ends after a short period. And look for hidden fees. Some offers include fees ranging from 50 cents per day to $14.99 per month. If an offer has a low fixed rate, check if the fine print has a “force majeure” provision that allows the company to change the rate during certain market conditions.
● If you sign up for an alternative, watch your bill carefully. If the offer turns out to be bad, you should be able to leave it without paying an exit fee, under Illinois law.