Frerichs Joined by Legislative Leaders, Attorney General, Local Officials in Decatur

Springfield, IL - State Senator Frerichs was joined by Senate President Emil Jones, House Speaker Michael Madigan and Attorney General Lisa Madigan to announce that Illinois consumers will receive more than $1 billion in a rate relief program to combat increasing electric costs.

For more than seven months, legislators and electric utility providers have discussed the best way to provide relief to consumers who have seen dramatic increases in their utility bills following the end of a decade-long state freeze on electric prices which ended in January.

All parties to the agreement said that a rate relief package was better than another freeze because it would provide reliable power and rate relief in the form of rebates or refunds. Extending the freeze could have caused blackouts and other power supply disruptions as have been experienced in other states. In addition, legal action to fight the freeze would have prevented consumers from seeing any form of assistance with their electric bills for years.

"After months of intense and often heated discussions with utility companies, generators, legislators, and the attorney general's office, we can declare a victory for consumers," Senate President Emil Jones said. "That victory includes the continuation of reliable service in homes and businesses throughout Illinois and true rate relief."

Senator Frerichs said consumers will benefit from roughly $976 million in the rate relief package. More than 50 percent of the funds will be spent equally in the Ameren and ComEd territories in 2007. Approximately, 30 percent of the funds will be spent in 2008. The remaining funds will be spent in 2009 and 2010.

In addition, the package will provide $25 million for the creation of an Illinois Power Agency Trust Fund which will develop procurement plans for ComEd and Ameren to ensure adequate, affordable, efficient and environmentally sustainable electric service for Illinois consumers.

"The last seven months have been difficult for many Illinois residents and businesses as the cost for electricity has increased dramatically," said Senator Frerichs. "This agreement with the utility companies for over $1 billion in relief should make these costs more manageable for all customers."

The Decatur stop was one of several the officials made around the state announcing the agreement that will provide rate relief for power customers.