WILLIAMSON COUNTY, IL (WSIL) -- Ameren Illinois officials alerted customers of possible increases in their power bill last summer, saying significant global events would cause price increases in many areas, including the power sector.
Adding to that increase is Ameren's $61 million electricity-delivery rate hike, which went into effect at the start of the year--and people are feeling the pinch.
HQ and Co. Hair Salon, downtown Marion Illinois, is still recovering from the decline in business since COVID 19 hit two years ago. Owner Fred James says before COVID his energy bills met his expectations for what they used each month.
"You know, we're down, we're less busy than we were before COVID so you would think they would probably be cheaper, but they have actually risen," says James, adding that his most recent bill is more than $200 above average, and he's not alone on seeing those higher prices.
"We hear everybody complaining, you know, that their bills have gone up," says James, "But nobody seems to know why
Jim Chilsen with Citizens Utility Board in Chicago says the rate hikes are the result of a "double whammy."
"We are seeing supply prices skyrocket on their electric bills, but we're also seeing delivery charges go up," explains Chilsen.
A scheduled increase in energy cost was announced this past summer. It combines with the recent rise in delivery rates, hitting consumers' bills this month.
Chilsen says while Ameren does not profit from increases in energy costs, they do with its delivery.
"Ameren Illinois has gotten more than $100 million in delivery-charge rate hikes over the last two years, so that's adding to consumers' pain," says Chilsen, "But on the supply side, electricity prices have gone through the roof."
Supply cost are responsible for half, to two-thirds of an electrical bill, says Chilsen, adding those rates will remain at their current levels at least through May, and could continue after.
"In the next couple of months, we'll know what June 1st is going to look like for Ameren Illinois customers," says Chilsen. "We certainly hope that the prices begin to ease but we'll have to see."
Chilsen recommends for people having trouble with your energy bill, don't wait .. call your utility provider to see if you qualify for any assistance programs.