I-Team: Electric bill confusion
CHICAGO (WLS) -- When it comes to choosing an electric supplier there are dozens of options and the ABC7 I-Team is cutting through some of the confusion as major industry changes are in the works.
No matter which company you're with, the price of electricity is going up because of demand, but there are also shifts in the marketplace that may confuse customers.
So the I-Team is breaking down the options.
Integrys Energy says since 2013, it's deal with the city of Chicago has saved nearly 800,000 Chicago households more than $30 million, compared to what they would have paid with ComEd. But now the company that owns ComEd, Exelon, is buying Integrys.
So what does that mean for consumers?
"What we hope happens here is instead of Exelon trying to increase margins and profits at consumer expense, that perhaps will offer innovative services to help lower bills," said Dave Kolata, Citizens Utility Board.
While the president of the Citizens Utility Board is skeptical, executives at Exelon tell the I-Team that competitive pricing will continue and reinforced that the current deal the city has with Integrys remains intact.
Integrys contract will end in May of 2015. Will Exelon want the next contract?
"It's really up to the city on how they want to proceed and certainly we would relish the opportunity in whatever opportunity exists at that time," said David Fein, Exelon VP, Government Affairs East.
All of this is happening as Integrys customers are getting notices in their electric bills that a new potentially higher rate system will take effect in September and they can opt out at any time without a penalty.
But the options for electricity are endless and may be confusing.
"You have to do your homework now things are not as automatic as they used to be that's the price of a dynamic competitive, market there's more work you have to do," said Mark Burger.
Burger, of the Community and Economic Development Association, says you have three options when picking a plan.
1. You can stay with the regulated ComEd as your supplier that's regulated by the Illinois Commerce Commission.
2. Shop for an alternative supplier with a fixed or a variable rate.
3. Or, many residents have the option of going with deals which were reached with their municipalities, with alternative suppliers.
But CUB says that more than two dozen suburbs like Hanover Park, Addison and Lombard have recently dropped deals with their alternative suppliers.
"We explored it, it's not going to save consumers now so we will just have folks go back to ComEd," Kolata said.
In the end, electricity experts say after you do all of the comparing you could save up to $100 a year, depending on the plan.
But the best way to save money on your bill may be the most obvious one - turn off lights and unplug appliances that are rarely used and are still sucking up energy.
If your town has returned to the default ComEd service, you can still shop for an alternative energy supplier. If you do that you need to be cautious if you choose a variable rate that fluctuates with the marketplace. Make sure that the agreement doesn't include a spike in the price after the first few months.
Also, make sure you can get out of the deal if you're not happy.
Deciding between Intergrys and ComEd in Chicago?
Click here: http://www.chicagopowercalculator.com/
Other helpful links to choose an electric plan:
http://www.citizensutilityboard.org/
