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Illinois Commerce Commission approves ComEd and Ameren refiled multiyear grid plans with substantive edits

December 19, 2024 | Commerce Commission, Illinois, C, Boards and Commissions, Executive, Illinois


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Illinois Commerce Commission approves ComEd and Ameren refiled multiyear grid plans with substantive edits
The Illinois Commerce Commission on Dec. 19 approved refiled multiyear integrated grid plans from Commonwealth Edison Co. (ComEd) and Ameren Illinois with substantive edits that clarified how utilities must demonstrate cost effectiveness, narrowed what counts as "required" projects and ordered further stakeholder workshops and compliance filings.

The Commission’s orders, adopted by unanimous consent during the open meeting in Springfield, directed both utilities to adopt a customer-focused approach to discount rates used in net present value calculations and to provide stronger, project-level explanations when investments are classified as "required." The orders also directed the utilities to collaborate with staff and stakeholders on workshop discussions and modeling ahead of the next grid plan filings.

The ComEd order (consolidated dockets 20-02486, 20-03505 and 20-04181) approved the company’s refiled grid plan and adjusted rate plan with edits that: adopt a cost-effectiveness framework and guidance for refinement; remove a proposed $16,500,000 capital expenditure tied to a system-visibility program because the record was incomplete; accept staff’s approximately $96,000,000 adjustment to the targeted resiliency program; remove $28,000,000 associated with the 1MDS program; and remove $29,500,000 tied to a customer-care and billing upgrade from inclusion in this grid plan. The order requires ComEd to collaborate with Ameren and stakeholders to develop a utility-specific outage calculator and to submit a compliance filing in that docket within 120 days, with biannual status updates thereafter.

The Ameren order (consolidated dockets 20-02487, 20-03802 and 20-04238) includes parallel instructions: refine cost-effectiveness methodology for future filings, explain why projects are deemed required (and thus exempt from cost-effectiveness review), and use alternatives to proprietary software where needed so parties and the Commission can fully examine Ameren’s analyses. Staff adjustments adopted in the order include an approximately $4,500,000 reduction to Ameren’s proactive subtransmission line-hardening program and the removal or reduction of other program costs identified as unsupported in the record.

The orders also establish a facilitator-led workshop process that staff directed to begin in April 2025, requiring a facilitator report memorializing topics and commitments to inform the next grid plans. The Commission asked ComEd and Ameren to work with stakeholders to develop an outage-calculator tool with transparent methodologies and ordered the companies to provide periodic updates ahead of their next grid-plan filings.

Commissioner Redick praised the stakeholder process but emphasized that the work is ongoing, calling for clearer cost-effectiveness screens and asking pointed planning questions: "Why this? Why there? Why now? And why that cost?" Commissioner Paradis thanked ICC staff, ALJs and parties for their roles in producing the revised plans. The chair summarized the approvals as a first step in implementing new multi-year grid planning and rate-making frameworks and said the planned workshops and compliance filings would guide future plan refinements.

Next steps set by the orders include the scheduled April 2025 workshops, a staff report by February 2025 recommending further performance-metric workshops, and required compliance filings and status reports tied to the outage-calculator directive. The Commission did not record roll-call votes; multiple items were adopted by unanimous consent during the meeting.

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