Overview

• Two administrative law judges proposed reducing Nicor’s delivery-rate request from $314.2 million to about $204.4 million and lowering the allowed return on equity to 9.93% from 10.35%.
• If adopted by the Illinois Commerce Commission, the Citizens Utility Board estimates typical residential bills would rise by roughly 9%, or just over $7 a month, beginning in January.
• The proposed order says the lower return on equity would still produce about $471 million in annual profit for the utility.
• Roughly 2.3 million customers in suburban Chicago and northern Illinois would see higher delivery charges, which are separate from pass-through gas supply costs.
• Nicor says it is reviewing the proposed order, while Illinois PIRG, CUB and the Environmental Defense Fund urge deeper cuts and tighter scrutiny of spending.