Illinois Competitive Retail Electric Market Legislative Briefing 2011
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1 Illinois Competitive Retail Electric Market Legislative Briefing 2011
2 Illinois Competitive Energy Association ICEA WHO WE ARE: ICEA is an Illinois-based trade association of alternative retail electric suppliers (ARES) and alternative gas suppliers (AGS) whose mission is to preserve retail electric and natural gas customer choice and competition. WHAT WE DO: ICEA member companies provide electricity, green power options, natural gas, and other related services to residential, business, governmental, and non-profit energy consumers. HOW WE HELP ENERGY CONSUMERS and the ILLINOIS ECONOMY: For most business, governmental, and non-profit customers, energy costs are 20-40% of their operating expense. The competitive energy supplier delivers a range of risk management tools, innovative products and customized services designed to help our customers manage their energy costs, stay in business, and compete in today s marketplace.
3 ICEA Member Companies Ameren Energy Marketing Company Champion Energy Services Constellation NewEnergy Direct Energy Services Exelon Energy FirstEnergy Solutions Integrys Energy Services MC Squared Energy Services Midwest Generation-Edison Mission Solutions Nordic Energy Services Reliant
4 Competitive Suppliers Electric Customers ARES serve small, medium and large-sized business from Rockford to Cairo and manufacturers, retail merchants, and other commercial and industrial customers ranging from Main Street to among the Fortune 500. ARES-served governmental customers include municipal and county governmental units and their operating departments. ARES-served customers include school districts, colleges and universities, cultural and religious institutions, sporting facilities, office buildings and condo association, hospitals, hotels, restaurants, and grocery stores.
5 Competition in Illinois: A Strong History The Legislature restructures the Illinois electric industry and embraces competition over traditional rate regulation by enacting the Electric Service Customer Choice and Rate Relief Law of 1997 ( Customer Choice Law ). The Retail Competition Act creates the Office of Retail Market Development at the ICC to promote an effectively competitive retail electricity market (Public Act ). The Illinois Power Agency Act declares certain large and medium size Ameren customers and medium and small size ComEd customers a competitive service to be served by retail electric suppliers in 2008 and 2010 (Public Act ). Utility Consolidated Billing / Purchase of Receivables legislation removes certain barriers to competition for residential and small commercial customers (Public Act ).
6 Illinois Retail Electric Market: One of the Most Successful in the US 52% of all kilowatt hours consumed in Illinois are provided by retail electric suppliers. 42 retail electric suppliers certified in Illinois; 18 retail electric suppliers registered with Ameren and 24 retail electric suppliers registered with Commonwealth Edison. 22 retail electric suppliers certified to serve residential and small commercial customers. 200,000 residential customers have switched to retail electric suppliers as their source of electric supply. 22 Municipalities served by Commonwealth Edison passed ordinances to solicit electric supply offers from retail electric suppliers.
7 ICC Retail Electric Competition Report: ComEd 58% of the total electric usage of ComEd s customers was provided by retail electric suppliers 79.5% of all non-residential electric load (i.e. commercial and industrial (C&I) customers) was provided by retail electric suppliers. 97% of the very large commercial class 89% of the large commercial class 72% of the medium commercial & industrial class 39.5% of the small commercial class
8 ICC Retail Electric Competition Report: Ameren AmerenIP Service Territory 63% of total electric usage of AmerenIP s customers was provided by retail electric suppliers 85% of all non-residential load (i.e. commercial and industrial (C&I) customers) was provided by retail electric suppliers 96% of the very large commercial and industrial class 86% of the large commercial and industrial class 75% of the medium commercial and industrial class 45% of the small commercial class
9 ICC Retail Electric Competition Report: Ameren AmerenCIPS Service Territory 54% of total electric usage of AmerenCIPS s customers was provided by retail electric suppliers. 73% of all non-residential load (i.e. commercial and industrial (C&I) customers) was provided by retail electric suppliers 80% of the very large (1MW and greater) class 82% of the large commercial class 69% of the medium commercial and industrial class 44% of the small commercial class
10 ICC Retail Electric Competition Report: Ameren AmerenCILCO Service Territory 60% of total electric usage of AmerenCILCO s customers was provided by retail electric suppliers 83% of all non-residential load (i.e. commercial and industrial (C&I customers) was provided by retail electric suppliers 93% of the very large (1MW and greater) class 87% of the large commercial class 75% of the medium commercial and industrial class 45% of the small commercial class
11 Electric Choice: Keeping the Doors Open for Illinois Manufacturers Illinois businesses have saved more than $1 billion versus the in-place utility rates and the IMA Energy Program has helped keep our manufacturers doors open and operations running. The IMA s Energy Program and strategic partnership with Constellation NewEnergy, the leading competitive supplier in Illinois and throughout North America, have been crucial in helping our membership understand the market changes and how to take advantage of Electric Choice. -Greg Baise, President & CEO Illinois Manufacturer s Association
12 Where We Go From Here Continue to support competition and customer choice in Illinois. Support policies that encourage and expand the development of competition for all customers. Ensure competitive neutrality between competitive supply customers and utility customers. Count on the Illinois Competitive Energy Association (ICEA) as the go-to resource on competitive energy market issues. Our core mission is to educate members of the General Assembly, regulators at the ICC, public policy makers, and the public about the benefits and value that customer choice and competitive energy markets bring to Illinois consumers.
13 Contact Information Kevin Wright ICEA President 601 West Monroe Street Springfield, IL
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