Illinois is a deregulated energy state, meaning you can choose where you purchase your energy. Finding the right electric plan for your home can get tricky.
In most deregulated energy states, you can save money on your energy bills by choosing an electric plan from an energy company instead of the local utility. Electricity in Illinois works a bit differently. You can still shop around for a better rate, but your overall savings will depend on how the retail energy supplier's (or energy company's) rates compete with the utility's rates.
"Since 2015, Illinois consumers on alternative electricity suppliers have lost $1.8 billion because they're on plans with higher rates than the utility," Jim Chilsen, communication director of the Citizens Utility Board (CUB) in Illinois, told CNET.
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The idea of choosing an energy supplier with a competitive rate sounds appealing, but the reality often falls short in Illinois. Despite having the freedom to select an alternative provider, you could end up paying more than your local utility's rate. This issue, combined with the challenge of climate change and rising energy prices, makes it difficult for many Illinoisans to afford their energy bills.
Fortunately, there are ways to cut back on your energy usage that can make a big difference. "Knowledge is power. Many consumers don't know that energy efficiency programs and tips can lower their bills," Chilsen said.
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This advertisement widget will direct you to www.chooseenergy.com. You will not be charged for engaging with this advertisement. While we strive to provide a wide range of offers, this advertising widget may not include information about every product or service that may be available to you. We make reasonable efforts to ensure that information from this advertisement widget is up to date. It is possible that the offer terms from this advertising widget and the advertised offers may be subject to additional terms and conditions of the advertiser which will be presented to you prior to making a purchase. All information is presented without any warranty or guarantee to you.
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Let's dive into how you can manage your energy costs and find available resources in Illinois.
What's the average electricity bill in Illinois?
The cost of electricity in Illinois depends on where you live, how much energy you use and your energy supplier. Since Illinois operates on a deregulated energy market, you can stick with the local utility's electric plan or choose an alternative retail electric supplier. If you decide to pick an ARES plan, you still receive transmission and distribution services from your local utility, but you're buying your electricity from the ARES.
Ameren and ComEd are the major electric utility companies in Illinois. Electric rates can fluctuate based on the energy market. You can find the latest utility rates on Ameren or ComEd's websites. The Citizens Utility Board of Illinois also updates a page featuring a quick breakdown of current electric rates for each utility in Illinois. You can compare these rates to your electric bill to determine if you should stay with your current electricity provider or look for a better deal.
However, there's a common misunderstanding. "Some customers do not realize they're with an ARES and think they are getting it from the utility," Chilsen said. To determine who your energy provider is you can "Look at the supply section of your bill. If it's not ComEd or Ameren, check the rate and compare it to the utility rate."
The table below shows the average electric rates in Illinois in 2022, according to data from the Energy Information Administration:
| Average electricity price (in cents per kilowatt-hour) | Average monthly usage (kWh) | Average electric bill | |
|---|---|---|---|
| Illinois | 15.65 | 720 | $112.74 |
| United States | 15.04 | 899 | $135.25 |
Shopping for electricity in Illinois
If you're unhappy with the cost of your energy bill, you can search for a better electricity rate in Illinois. "We urge extreme caution to anybody shopping on the market to be careful and don't get lured into a bad deal. There will be times when your utility supply rate goes up because of market conditions, but your alternative supplier is impacted by the same market," Chilsen said. If you find an energy company and plan you prefer, you can switch providers online or over the phone using proof of residence and your utility account number.
Always read the fine print before signing a contract. Some energy plans may seem appealing at first but can include hidden terms. If you sign up for an ARES, keep a watch on your bill. Chilsen said, "If it stops saving you money, you should be able to get out of it without penalty."
You might also get door-to-door or over-the-phone salespeople asking for your bill information or account number. "Do not give it to them. An unethical sales rep could sign you up for an offer without your permission." To avoid getting scammed, check online energy provider reviews and search for the company on the Illinois Commerce Commission utility database.
Getting solar panels in Illinois
Installing a solar panel system can help cut your energy bills quite a bit. You'll also be generating your electricity and lessening your reliance on the power grid. If your solar system generates more electricity than your home needs, you can sell your excess energy to the grid through a process called net metering. This can help you save even more money and lower your solar payback period.
"If you're interested in solar, now might be a good time to move forward. Illinois is going through a solar boom and there are several great incentives to cover most of the cost," Chilsen said.
When shopping for solar, it's important to get quotes from multiple installers in your area, compare quotes and review customer testimonials to find the best installer for you. Eligible households can receive financial aid toward the cost of a solar panel system through programs like Illinois Shines and Illinois Solar for All. If you can't install panels on your roof, community solar programs are a great alternative, allowing you to power your home with solar energy without needing to install your own system.
Electric bill assistance in Illinois
Illinois offers several resources to help you manage and lower your utility bills. "The state of Illinois has the Climate and Equitable Jobs Act to help people afford their bills and avoid getting disconnected," Latifat Moradeyo, energy policy analyst at the Illinois Commerce Commission, told CNET. "Affordability is subjective. What's affordable to me, may not be affordable to you. No matter what companies charge, someone can not afford it, so they set up incentives."
Thanks to CEJA, Ameren and ComEd offer programs and benefits for customers to help afford electricity. Here's a list of energy assistance programs in Illinois from utilities and the federal government:
- Illinois Low Income Home Energy Assistance Program: Eligible households receive a one-time benefit to help pay for winter energy bills. Check your eligibility and learn how to apply by contacting a local representative.
- Illinois Home Weatherization Assistance Program: Helps low-income households save energy by improving home energy efficiency. Contact your local Community Action Agency to apply.
- ComEd Payment Assistance: ComEd customers can choose assistance programs based on needs, whether it's budget billing, payment arrangements, due date extensions or waiving a deposit. Find assistance programs for ComEd customers online.
- Ameren Payment Assistance: Ameren customers can request payment extensions, budget billing and other programs. Find Ameren assistance resources online.
- Military discounts: Veterans and active-duty military can receive discounts on electricity in Illinois from their utility company. For example, Ameren offers up to $600 in bill payment assistance.
When searching for energy assistance, Chilsen recommends, "Your first call should be to your utility to see if they have any energy assistance or efficiency programs to help lower your bills." By keeping the line of communication open with your utility, you can save money and prevent your power from being shut off.
Energy-saving tips for Illinoisans
Lowering your energy consumption is the best way to save on energy costs. This can be accomplished with lifestyle changes or larger energy efficiency projects. The less energy you use, the lower your bill will be.
"Like climate change, the energy burden is big, but don't let that stop you from taking action to lower your bills," Chilsen said. "Small steps forward are better than inaction."
For example, if buying a new energy-efficient refrigerator is not in your budget, take steps to make your current fridge more efficient. You can clean the coils on the back and make sure the door seals properly. You can always consider buying a more energy-efficient model in the future. Here are a few additional ways to increase the energy efficiency of your home.
Get a free home energy assessment
Home energy assessments review the energy efficiency of your home and provide ways to improve and home repair recommendations. ComEd and Ameren customers can receive a free home energy audit from the utility. Or, you can always take the do-it-yourself approach. Ask your utility about free or discounted energy-saving products. You might be able to get LED light bulbs, programmable thermostats and other energy-saving tools.
Maintain your HVAC system
Heating and cooling costs are one of the most expensive parts of your energy bill. Regularly changing your system's air filters and getting an annual performance check ensures your system operates efficiently and doesn't drive up electricity prices.
Participate in peak-time savings
The demand for electricity during specific times of day can get pretty intense, especially during the summer and winter months. To lessen the demand, some utilities offer a free program for customers to earn bill credits in exchange for reducing their energy usage during peak hours.
Participants receive a notification to reduce their usage during specific hours of the day. If you successfully consume fewer kilowatt-hours of electricity than you did the previous year, you can earn bill credits or gift cards. The terms and credit amount vary by utility. You can enroll in ComEd or Ameren peak time savings programs online.