CAPTIONING PERFORMED BY LNS CAPTIONING WWW.LNSCAPTIONING.COM >> WELCOME TO "AT ISSUE."

THANK YOU SO MUCH FOR JOININGS.

I'M H WAYNE WILSON.

THIS PAST WINTER WE HAD HIGH PRICES FOR NATURAL GAS.

AFTER SUFFERING THROUGH THAT, WE CAN LOOK FORWARD TO HIGHER PRICES FOR THE SUPPLY OF ELECTRICITY THIS SUMMER.

YOUR AMEREN BILL IS DIVIDED INTO, IN SIMPLE TERMS, THREE PARTS.

THERE IS ELECTRIC DELIVERY, THERE IS ELECTRIC SUPPLY AND THEN, OF COURSE, THERE IS TAXES AND FEES.

WE ARE TALKING ON THIS EDITION OF "AT ISSUE" ABOUT THE SUPPLY PORTION OF ELECTRICITY IN CENTRAL ILLINOIS.

AMEREN ILLINOIS IS A DISTRIBUTION COMPANY.

WE ARE GOING TO TALK ABOUT THAT WITH PATRICK URICH, WHO IS THE CITY MANAGER OF THE CITY OF PEORIA, THANK YOU FOR JOINING US.

>> THANK YOU, H. >> ALSO JOINING US IS ANTHONY STAR.

THE DIRECTOR OF THE ILLINOIS POWER AGENCY.

ANTHONY, THANK YOU FOR BEING ON "AT ISSUE."

>> HI.

>> WE WILL EXPLAIN WHAT ILLINOIS POWER AGENCY IS.

IT IS A GOVERNMENT AFFILIATED AGENCY.

WE WILL TALK ABOUT THEIR ROLE AS WE MOVE FORWARD.

FIRST, LET ME TURN TO PATRICK BECAUSE YOU MAY HAVE RECEIVED A LETTER FROM AMEREN ILLINOIS THAT THE PRICE IS GOING TO GO UP FOR THE NEXT TWO MONTHS AND THERE MIGHT BE A NEW AGREEMENT FOR THE AGGREGATE.

PAT PATRICK, WHAT IS THE AGGREGATION PROCESS AND WHERE IS IT RIGHT NOW?

>> THANKS, H. THE CITY OF PEORIA AND THE COUNTY, MANY OF OUR CENTRAL ILLINOIS COMMUNITIES HAVE A MUNICIPAL AGGREGATION BUYING GROUP, WHERE WE PURCHASE A CONTRACT OR EXECUTE A CONTRACT WITH AN ENERGY SUPPLIER ON BEHALF OF THOSE RESIDENTS THAT PARTICIPATE IN OUR PROGRAM IN IS SMALL BUSINESSES THAT PARTICIPATE IN THAT PROGRAM AS WELL.

INSIDE THE CITY OF PEORIA, 38,500 HOUSE HOLDS.

IN THE LARGER GROUP IN CENTRAL ILLINOIS 110,000 HOUSEHOLDS.

IT IS ONE OF THE BIGGEST BUYING GROUPS IN AMEREN TERRITORY.

AS WE SAW THE RESULTS OF THE MID STATE AUCTION THAT CAME BACK AND THEY SAW ENERGY SUPPLY PRICES WERE GOING CONSIDERABLY HIGHER AND WE STARTED TO LOOK AT PRICING CONTRACTS WITH DIFFERENT ENERGY SUPPLIERS WE HAVE WORKED WITH IN THE PAST, WE WEREN'T ABLE TO GET TO A CONTRACT THAT WAS BELOW THE PRICE TO COMPARE, THE PUBLISHED RATES THAT AMEREN IS WORKING THROUGH RIGHT NOW.

SO IN THAT REGARD, WE HAVE DECIDED TO HOLD OFF FOR THIS YEAR ON EXECUTING ANY CONTRACT, WHICH WOULD MEAN ALL OF OUR CUSTOMERS THAT ARE PARTICIPATING IN THE MUNICIPAL PROGRAM WOULD BE FOLLOWING AMEREN OR PURCHASING SUPPLY THROUGH AMEREN'S PUBLISHED RATES.

>> WHY DO YOU HAVE TO WAIT 12 MONTHS TO REENTER THE NEGOTIATION?

>> IT IS A LAW THAT WAS SET UP, A STATE LAW WE HAVE TO WAIT THAT TIME.

BECAUSE OF THE PRICING WE WEREN'T ABLE TO EXECUTE A CONTRACT BECAUSE OF THE VOLATILITY IN THE MARKET IN APRIL FOR THE MONTH OF JUNE WHEN THE CONTRACT DID EXPIRE.

WE KNEW AT LEAST THE FIRST COUPLE OF MONTHS WE WERE GOING TO GO THROUGH THAT PROCESS AND UNFORTUNATELY JUST AS WE STARTED TO NEGOTIATE WITH THE SUPPLIERS, THE RATES THAT WERE COMING BACK WERE GOING TO BE HIGHER THAN THE PUBLISHED RATES WE WERE SEEING FROM AMEREN DUE TO THE VOLATILITY WE WERE SEEING SO WE MADE THE DECISION TO HOLD OFF.

>> AND THAT TURNS IT OVER TO THE ILLINOIS POWER AGENCY.

ANTHONY, CAN YOU EXPLAIN, ESSENTIALLY, ILLINOIS POWER AGENCY PURCHASES ELECTRICITY, SUPPLIES IT TO AMEREN, ILLINOIS, WHICH IS A DISTRIBUTION COMPANY, IS THAT CORRECT?

>> THAT IS MORE ORLESS CORRECT.

THE ILLINOIS POWER AGENCY, WE ARE A STATE GOVERNMENT AGENCY CREATED BACK IN 2007 TO BASICALLY RUN HOW COMED AND AMEREN PROCURE ELECTRICITY FOR RESIDENTIAL AND SMALL COMMERCIAL CUSTOMERS WHO HAVE NOT SWITCHED TO OTHER SUPPLIERS.

WE DEVELOP A PROCUREMENT PLAN AND A STRATEGY TO PROCURE POWER FOR THOSE CUSTOMERS AND RUN THE PROCUREMENTS TO BUY THAT POWER.

THE ULTIMATE BUYER OF THE POWER IS AMEREN OR NORTHERN ILLINOIS COMED.

WE RUN THE ENTIRE PROCESS, BUT THEY ARE THE ONES WHO ULTIMATELY BUY THE POWER.

>> YOU MENTION COMMONWEALTH EDISON, ARE THEY IN THE SAME SITUATION WITH THEIR CUSTOMERS HAVING ELECTRIC SUPPLY INCREASE SIGNIFICANTLY?

>> THEY HAVE HAD AN INCREASE IN THEIR RATE AS WELL.

NOT AS SIGNIFICANT AS AMEREN CUSTOMERS.

ONE COMPONENT OF ELECTRICITY IS CAPACITY, WHICH IS IN ESSENCE THE COST TO ENSURE THAT POWER PLANTS WILL BE AVAILABLE NEEDED AT HIGH DEMAND TIMES.

CAPACITY PRICES FOR COMED WERE HISTORICALLY HIGHER THAN AMEREN CUSTOMERS, ONE OF THE THINGS CONTRIBUTING TO THE PRICE INCREASE IS INCREASE IN CAPACITY COST.

THAT IS FELT DIFFERENTLY.

IN ADDITION, STARTING THIS MONTH, COMED CUSTOMERS ARE PARTICIPATING IN CARBON MITIGATION PROGRAM HELPING TO SUPPORT SEVERAL AT-RISK NUCLEAR PLANTS.

BECAUSE OF THE INCREASE IN ELECTRICITY THAT CHARGE IS TO OFFSET SOME OF THEIR RATE INCREASES.

>> SO THERE IS A DIVISION BETWEEN COMMONWEALTH EDISON AND AMEREN ILLINOIS IN THAT AMEREN IS A MEMBER OF WHAT IS CALLED MISO, BUT COMMONWEALTH EDISON IS NOT.

DOES THAT HAVE ANYTHING TO DO WITH THE SUPPLY PRICE?

>> THAT ISN'T NECESSARILY A CONTRIBUTING FACTOR.

COMED AND AMEREN ARE DIFFERENT REGIONAL OPERATORS, THEY RUN THE LARGE SCALE ELECTRIC GRIDS.

COMED JOINED PJM, A PORTION OF ELECTRIC THAT STRETCHES FROM NORTHERN ILLINOIS THROUGH MOST OF THE MID ATLANTIC STATES WHILE AMEREN IS PART OF MISO WHICH COVERS MOST OF THE MIDWEST.

THEY HAVE DIFFERENT DESIGNS FOR CAPACITY.

ONECOMPONENT OF ELECTRICITY I WAS TALKING ABOUT.

THE CAPACITY PRICES BETWEEN THE TWO MARKETS CAN BE VERY, VERY DIFFERENT THERE ARE DIFFERENCES BETWEEN THE PRICES ON DAILY OR HOURLY BASIS, BUT THOSE DIFFERENCES ARE NOT AS SIGNIFICANT.

>> PATRICK MENTIONED THE VOLATILITY OF THE SUPPLY MARKET FOR ELECTRICITY.

WHAT IS THE CAUSE BEHIND ALL THAT?

I'M SURE THERE ARE SEVERAL DIFFERENT CAUSES.

>> THERE ARE SEVERAL -- YES, THERE ARE SEVERAL CAUSES.

ELECTRICITY PRICES LIKE ANY COMMODITY GO UP AND DOWN BASED UPON THE LAWS OF SUPPLY AND DEMAND.

INCREASINGLY ELECTRICITY PRICES ARE CORRELATED WITH NATURAL GAS, ONE OF THE FUELS USED FOR ELECTRICITY GENERATION.

WE STARTED SEEING PRICES INCREASE LAST YEAR, THIS SPRING PRICES STARTED REALLY ESCALATING AND SWINGING BACK AND FORTH IN THE MARKET.

VOLATILITY IS CAUSED IN PART OF GAS SUPPLY, NATURAL GAS IS A GLOBAL COMMODITY, THE WAR IN UKRAINE IS CONTRIBUTING TO THAT AS WELL AS DEMAND FOR NATURAL GAS WITH ECONOMIC ACTIVITIES, HOTTER WEATHER AND HEATWAVES COMING CAN CONTRIBUTE TO TIGHTER NATURAL GAS SUPPLIES AND THE MARKET FACTORS INTO THE PRICE OF NATURAL GAS AND ELECTRICITY.

>> PATRICK, SO THAT THE AUDIENCE UNDERSTANDS, YOU TALKED ABOUT THE PROCESS OF AGGREGATION.

THEY HAVE HEARD TERMS LIKE GOOD ENERGY, VISTRA, HOMEFIELD.

IN A SIMPLE TERM CAN YOU EXPLAIN THE ROLE?

>> MUNICIPALITIES THAT PARTICIPATE IN AGGREGATION PROGRAM WILL OFTENTIMES WORK WITH CONSULTANT.

WE USED GOOD ENERGY OUT OF NEW YORK CITY TO BE OUR CONSULTANT AND THEY HELPED TO COORDINATE OUR BUYING GROUP AND THE LARGER, I THINK THERE'S 45 MUNICIPALITIES AND COUNTIES PART OF OUR BUYING GROUP THAT ARE INVOLVED IN THAT.

THEY HELP TO COORDINATE THOSE EVERTS.

THEY WILL NEGOTIATE WITH THE ENERGY SUPPLIERS ON OUR BEHALF, ON BEHALF OF OUR BUYING GROUP.

ULTIMATELY, WE'LL ENTER THOSE CONTRACTS WITH THE ENERGY COMPANIES, THE SUPPLIES, CONSTELLATION OR VISTRA ENERGY, THEIR ENERGY COMES THROUGH HOMEFIELD ENERGY.

THAT IS WHERE WE MANAGE OR WORK THROUGH THAT PROCESS.

>> IN SIMPLE TERMS HOMEFIELD ENERGY IS A DIVISION POSSIBLY OF VISTRA?

>> HOMEFIELD IS KIND OF A CREATION THAT WAS ESTABLISHED THROUGH AMEREN AND VISTRA AS THEY MOVED THOSE PORTIONS OF THE ORGANIZATION OUT OF AMEREN.

>> VISTRA GENERATES ELECTRICITY?

>> I BELIEVE THEY DO.

THEY HAD COAL-FIRED POWER PLANTS IN THE REGION THAT WERE SOLD TO THEM -- AMEREN SOLD THEM TO VISTRA SO THOSE WERE TAKEN OVER IN THE REGION.

SO, YES.

>> ANTHONY, IS THERE LIGHT AT THE END OF THE TUNNEL, AS WE ALWAYS SAY, WITH REGARD TO THE PRICE OF THE ELECTRIC SUPPLY?

>> ELECTRICITY MARKETS ARE VOLATILE, BUT THERE ARE FUTURE MARKETS LIKE THERE ARE FOR GRAINS, THERE IS WHEAT AND CORN, SOYBEAN FUTURES.

RIGHT NOW LOOKING AT THE FUTURES MARKETS FOR ELECTRICITY, WE DO SEE PRICES AFTER THIS YEAR GOING DOWN.

SO THAT IS INDICATION THAT THE MARKET EXPECTS PRICES TO GET BETTER.

THEY ARE NOT GOING TO GO DOWN RIGHT NOW AS FAR AS THEY WERE MAYBE TWO YEARS AGO WHEN, YOU KNOW, THE ECONOMIC DEMAND WAS MUCH LOWER FOR ELECTRICITY.

BUT RIGHT NOW THE MARKET IS VIEWING IMPROVEMENT IN ELECTRICITY PRICES.

THEY SHIFT.

SIX MONTHS AGO THE VIEW OF PRICES FOR THE SUMMER WOULD HAVE BEEN VERY DIFFERENT.

RIGHT NOW THERE IS SMALL OPTIMISM ON ELECTRICITY PRICES.

CAPACITY PRICES, ONE OF THE INSURANCE PRODUCTS TO ENSURE THERE IS ENOUGH ELECTRICITY TO SUPPLY DEMAND WE SAW A HUGE INCREASE IN MISO CAPACITY.

SOME OF THE CAPACITY REDUCED INCREASE FOR CUSTOMERS TAKING THEIR ELECTRICITY FROM AMEREN.

THERE DEFINITELY HAS BEEN A SIGNIFICANT TIGHTENING IN THE MISO ELECTRICITY MARKET THAT MAY BE HERE FOR A WHILE.

THAT COULD BE A COST COMPONENT THAT MAY BE HERE TO STAY FOR THE FORSEEABLE FUTURE.

AGAIN, THESE THINGS ARE VERY HARD TO PREDICT.

MISO PREDICTED ONCE A YEAR AND THAT CAN CHANGE FROM YEAR TO YEAR.

>> YOU HAVE A STAFF THAT MONITORS THIS SO YOU HAVE VARIOUS LENGTH ON YOUR CONTRACTS?

>> CORRECT.

WHAT WE DO IS WHEN THE GENERAL ASSEMBLY CREATED THE ILLINOIS POWER AGENCY IN 2007 AFTER A SORT OF CONTROVERSIES HOW ELECTRICITY WAS BEING PROCURED, WE WERE CHARGED WITH DEVELOPING ANNUAL PROCUREMENT PLAN WHERE WE LOOK AT WHAT ARE THE FORECAST USAGE FOR THE CUSTOMERS WHO DID NOT SWITCH AND THE RIGHTS OF RISK MANAGEMENT APPROACH IN TERMS OF WHEN TO BUY ELECTRICITY, HOW MUCH TO BUY AND WHAT PRODUCTS TO BUY, ET CETERA.

WE DEVELOP THAT PLAN EACH YEAR AND IMPLEMENT PROCUREMENTS RESULTING FROM IT.

A PROCESS WHERE WE DEVELOP THE PLAN, IT GOES OUT FOR STAKEHOLDER COMMENTS, GOES BEFORE THE ILLINOIS COMMERCE COMMISSION, THE REGULATORY REGULATES ASPECTS OF THE - ELECTRICITY MARKET FOR APPROVAL.

IT IS A CAREFUL PROCESS SO WE DEVELOP A BALANCED APPROACH THAT REALLY SORT OF TAKES ADVANTAGE OF THE VALUE OF ELECTRICITY MARKETS WHILE ALSO LOOKING FOR HOW DO WE HAVE STABILITY FOR CUSTOMERS.

>> THE VIEWERS ARE SITTING THERE GOING, OKAY, HOW MUCH IS MY BILL GOING UP?

I WILL ASK PATRICK FIRST AND ANTHONY, IF YOU WANT TO ADD TO THAT.

HOW MUCH IS THE SUPPLY PORTION OF MY HOME BILL?

>> SO THE SUPPLY PORTION THAT IN OUR LAST CONTRACT THAT WE HAD WAS ROUGHLY 4.4 CENTS, 4.5 CENTS PER KILOWATT HOUR.

THAT, NOW AS WE JUMP BACK ON THE AMEREN RATE, WILL BE ROUGHLY 12 CENTS PER KILOWATT HOUR.

SUPPLY BEING 30% OF YOUR BILL, YOU ARE LIKELY GOING TO SEE ROUGHLY A $50 A MONTH INCREASE IN THE BILL FOR AN AVERAGE HOMEOWNER.

>> ANTHONY, IS THAT PRETTY MUCH WHAT YOU'VE BEEN SEEING?

>> THAT IS PROBABLY ROUGHLY ACCURATE IN TERMS OF IT.

OBVIOUSLY, NOT KNOWING HOW HOT OR COOL THE SUMMER WILL BE DETERMINES WHAT PEOPLE WILL USE.

THOSE ESTIMATES GO INTO THE SUMMER.

>> THE HOTTER THE SUMMER, THE HIGHER BILL >> BECAUSE YOU USE MORE ELECTRICITY.

THEN THAT SPURS WHAT CAN YOU DO TO MANAGE YOUR ELECTRICITY TO MANAGE YOUR BILL.

>> CAN WE TALK ABOUT THAT?

ARE THERE OPTIONS FOR US SHORT OF BUYING ENERGY STAR APPLIANCES, A MAJOR OUTLAY OF CASH, ARE THERE SUGGESTIONS YOU MIGHT OFFER, ANTHONY?

>> SURE.

ENERGY EFFICIENCY THE MOST COST EFFECTIVE WAY TO REDUCE YOUR ENERGY BILLS.

THERE ARE ENERGY EFFICIENCY PROGRAMS THAT AMEREN OFFERS INCLUDES REBATES ON APPLIANCES AND HELPS REDUCE THINGS LIKE THE COST OF LIGHTING.

ONE THING WOULD BE TO LOOK AT THOSE OPTIONS, HOW YOU SET YOUR AIR CONDITIONER TEMPERATURE CAN BE ANOTHER OPTION.

AMEREN HAS A PROGRAM CALLED I BELIEVE IT IS PEAK REWARDS.

IF YOU SIGN UP AND CUT YOUR ELECTRICITY USAGE ON HIGH PRICE DAYS LOWER YOUR AIR CONDITIONER OR TURNING IT OFF FOR A SHORT PERIOD OF TIME YOU CAN GET CREDITS BACK.

THERE ARE THINGS YOU CAN DO TO REDUCE YOUR DEMAND FOR ELECTRICITY.

PULL DOWN YOUR SHADES ON WEST FACING WINDOWS ON SUNNY DAYS.

THEY ARE SMALL EFFORTS BUT DO MAKE AN IMPACT OF REDUCING YOUR ELECTRICITY BILL.

IF YOU ARE READY TO TAKE A BIGGER LEAP, THERE ARE OPTIONS FOR INSTALLING SOLAR OR SUBSCRIBING TO COMMUNITY SOLAR WHERE YOU SUBSCRIBE TO HAVE A PORTION OF YOUR ELECTRICITY COMING FROM A REMOTE SOLAR PROJECT.

THERE ARE QUITE OF FEW OF THOSE COMING ONLINE IN AMEREN.

THEY GIVE PEOPLE 10% TO 20% DISCOUNT ON ELECTRICITY.

>> AS A MATTER OF FACT, A COUPLE OF WEEKS AGO ON "AT ISSUE" WE TALKED ABOUT COMMUNITY SOLAR OPTION.

YOU DON'T NEED TO HAVE SOLAR PANELS ON YOUR HOUSE.

YOU CAN INVEST IN A COMMUNITY SOLAR PROJECT.

FOR CLARIFICATION, THE SUPPLY WE ARE TALKING ABOUT IS FOR RESIDENTIAL AND SMALL BUSINESS, BUT NOT FOR LARGE BUSINESSES.

IS THAT CORRECT?

>> THAT'S CORRECT.

ILLINOIS WAS ONE OF THE ROUGHLY HALF THE STATES IN THE COUNTRY THAT CHOSE TO DEREGULAR LATS OR RESTRUCTURE ELECTRICITY MARKET.

WE STARTED THE PROCESS BACK IN THE LATE 90s.

PART OF THE PROCESS IS TO ALLOW CUSTOMERS TO CHOOSE WHO TO BUY THEIR ELECTRICITY FROM.

RESIDENTIAL AND SMALL COMMERCIAL CUSTOMERS RETAIN A BACKSTOP.

THEY CAN CHOOSE TO BUY FROM THE UTILITY AT A FIXED RATE IF THEY DON'T WANT TO PARTICIPATE IN IT.

A LARGE INDUSTRIAL OR LARGE COMMERCIAL CUSTOMERS NO LONGER HAVE THE OPTION OF BUYING ELECTRICITY THROUGH AMEREN THROUGH THE PROCUREMENTS OF ILLINOIS POWER AGENCY.

THEY HAVE TO GO TO AN ALTERNATIVE SUPPLIER OR PARTICIPATE IN THE WHOLESALE HOURLY MARKETS THROUGH WHAT IS KNOWN AS REAL TIME PRICING.

>> PATRICK, ONE OF THE CONCERNS WE HAVE SEEN BEFORE, AND I CAN SEE THIS COMING, WE ARE GOING TO HAVE PHONE CALLS OR E-MAILS OR CONTACT FROM AN UNKNOWN ORGANIZATION THAT SAYS, I CAN GET YOU A BETTER RATE THAN WHAT IS BEING OFFERED RIGHT NOW.

CAUTION?

>> THERE'S ALWAYS CAUTION.

I THINK IT IS IMPORTANT FOR THE CONSUMER TO DO THE RESEARCH, TO EXPLORE THE OFFERS THAT ARE OUT THERE, LOOK AT WHAT IS AVAILABLE BEFORE SIGNING ON TO ANYTHING.

IT IS IMPORTANT YOU BECOME AWARE OF THAT.

I THINK THERE ARE RESOURCES.

THERE'S THE ICC HAS A WEBSITE THAT YOU CAN LOOK AT THE VARIOUS PURCHASING OPTIONS OUT IN THE AMEREN AREA.

YOU CAN LOOK AT OTHER INFORMATION ONLINE ABOUT THE ENERGY COMPANIES THEMSELVES.

WE'RE GOING TO BE SENDING SOME COMMUNICATION OUT TO THOSE 38,500 HOUSE HOLDS THAT TALK ABOUT WHAT OPTIONS PEOPLE HAVE AS THEY LOOK AT THIS OVER THE NEXT YEAR TO KEEP THEM INFORMED AS WELL.

>> ANTHONY, PATRICK MENTIONED THE ILLINOIS COMMERCE COMMISSION.

THAT IS OBVIOUSLY A PLACE TO GO, BUT YOU HAVE ANY ADVICE WITH REGARD TO THESE ORGANIZATIONS THAT MIGHT TRY TO GIVE YOU AN INTRODUCTORY PRICE?

>> I THINK, YES, I THINK PATRICK HIT THE NAIL ON THE HEAD.

THE KEY HERE IS TO DO YOUR RESEARCH.

SOME COMPANIES OFFER TEASER RATES, THEY OFFER A RATE THAT LOOKS GOOD AND WILL INCREASE AFTER THREE MONTHS.

YOU NEED TO LOOK AT THE FINE PRINT ON THOSE.

SOME INCLUDE RENEWABLE ENERGY AND CHARGE MORE FOR IT.

NOW, THERE'S NOTHING INHERENTLY WRONG WITH THAT, BUT THE AMOUNT THEY CHARGE MORE MAY BE THE GREATER INCREMENTAL COST.

THOSE ARE THINGS TO KEEP AN EYE OUT FOR.

ICC HAS A WEBSITE CALLED PLUG IN ILLINOIS THAT SHOWS YOU OFFERS AND COMPARES TO AMEREN RATE.

THAT IS A GREAT RESOURCE.

ONE THING TO KEEP IN MIND IN DOING YOUR HOMEWORK IS IF SOMEONE KNOCKS ON YOUR DOOR AND TRIES TO GET YOU TO SWITCH YOUR ELECTRICITY RATE.

THEY HAVE MORE INFORMATION THAN YOU DO.

I WOULD ADVISE PEOPLE DON'T SIGN ANYTHING UNTIL YOU CAN EXPLORE THE RATES AND DETAILS TO DECIDE IT IS A GOOD OPTION FOR YOU.

DON'T SIGN SOMETHING WITHOUT DOING YOUR RESEARCH.

>> I WOULD LIKE TO TALK TO YOU, ANTHONY, ABOUT SOME CHARGES ON THE AMEREN ILLINOIS BILL ADDED JUST THIS YEAR.

>> SURE.

>> ONE IS THE RENEWABLE ENERGY ADJUSTMENT.

THAT IS MONEY THAT WILL GO TO THE ILLINOIS POWER AGENCY DIRECTLY.

IS THAT CORRECT?

>> YES.

THAT LINE ITEM HAS BEEN THERE.

WHAT CHANGED IN THE FALL WITH NEW LEGISLATION IS THE -- THAT RATE INCREASED TO SURPT AN EXPANSION OF THE STATE'S INVESTMENT IN DEVELOPING NEW RENEWABLE ENERGY RESOURCES.

THAT HELPED SUPPORT OUR PROGRAMS WE RUN FOR HOME OWNERS AND BUSINESSES TO INSTALL SOLAR.

IT WILL FUND THE DEVELOPMENT OF NEW LARGE SCALE WIND AND SOLAR PROJECTS.

>> THE COAL TO SOLAR CHARGE NOT ON THE AMEREN ILLINOIS BILL YET WILL APPEAR IN JANUARY OF NEXT YEAR?

>> I BELIEVE SO.

THE TIMING OF THAT MAY BE SOME NUANCES TO THAT.

THAT IS ALSO SOMETHING THAT CAME OUT OF LEGISLATION IN THE FALL.

THAT IS HELPING SPECIFIC SOLAR PROJECTS AT THE SITE OF COAL PLANTS.

WE HAVE RUN ONE PROCUREMENT EVENT SO FAR AND PROJECTS THAT WILL BE INSTALLING SOLAR AND WE ARE RUNNING ANOTHER PROCUREMENT EVENT THIS FALL THAT WILL GO OUT FOR ADDITIONAL PROJECTS.

THAT, AGAIN, IS ONE OF THE WAYS AS HE ENERGY ECONOMY OF THE STATE TRANSITIONS ALLOWS SOLAR TO GO IN WHERE COAL HAD PREVIOUSLY OPERATED.

>> ANOTHER NEW CHARGE ON THE BILL IS ENERGY TRANSITION ASSISTANCE CHARGE.

THAT DOES NOT GO TO THE ILLINOIS POWER AGENCY, CORRECT?

THAT IS WORK FORCE DEVELOPMENT?

>> CORRECT.

THAT IS PROGRAMS BY THE DEPARTMENT OF COMMERCE AND ECONOMIC OPPORTUNITY TO DO VARIOUS SORTS OF WORKFORCE DEVELOPMENT AND TRAINING.

A SMALL PORTION WILL GO TO SUPPORT SOME OF THE WORK OF THE IPA.

BUT THE VAST MAJORITY OF CHARGES TRAIN THE NEW ECONOMY, ILLINOIS'S ECONOMY IS CHANGING.

WE NEED A WORKFORCE THAT HAS SKILLS AND TRAINING AND KNOWLEDGE TO DEVELOP PROJECTS COMING DOWN THE LINE.

THAT FUNDING IS TO HELP WITH THAT TRANSITION.

>> AMEREN ILLINOIS IS NOW OPENING THEIR FIRST SOLAR ARRAY.

IT IS DOWN ACROSS FROM EAST ST. LOUIS HIGH SCHOOL.

DOES THAT HELP WITH SUPPLY?

DOES THE ILLINOIS POWER AGENCY ACTUALLY LOOK AT THAT IN PURCHASING ELECTRIC SUPPLY IN THE FUTURE?

>> THAT PROJECT ACTUALLY IS OUTSIDE OF THE PROCUREMENT WE DO.

A SPECIFIC PIECE OF LEGISLATION ALLOWING AMEREN TO DEVELOP ITS OWN SOLAR PROJECTS.

>> OKAY.

>> IN TERMS OF OVERALL SUPPLY OF THE MARKET, THEY ARE NOT THAT LARGE.

>> PATRICK, I WANT TO RETURN TO THE NEGOTIATION SITUATION.

NO NEGOTIATION -- WELL, NO CONTRACT FOR THE NEXT 12 MONTHS.

>> CORRECT.

>> IN TALKING TO GOOD ENERGY AND THEY'VE GOT PLENTY OF EXPERIENCE ACROSS THE COUNTRY NEGOTIATING THESE, DO -- HAVE THEY INDICATED TO YOU ANY HOPE A YEAR FROM NOW THAT THEY MIGHT BE ABLE TO FIND A BETTER PRICE?

>> YES.

AND AS ANTHONY MENTIONED, I THINK, AS HE MENTIONED ABOUT THE FUTURES MARKET AND LOOKING WHERE ENERGY PRICES ARE STARTING TO, AT LEAST IN THE FUTURES MARKET, TREND DOWN.

GOOD ENERGY FEELS WE ARE SEEING THE SAME THING.

AND SO THEY'RE CONFIDENT WE'LL BE ABLE TO EXECUTE SOMETHING NEXT YEAR AS WE KIND OF SEE SOME OF THE DUST SETTLING HERE IN THE MARKET.

ONE OTHER POINT AS ANTHONY WAS MENTIONING, YOU MENTIONED THAT AMEREN HAS THAT PILOT PROJECT, THEIR SOLAR PROJECT IN EAST ST. LOUIS.

THEY ARE WORKING ON ONE CURRENTLY INSIDE THE CITY OF PEA D PEORIA.

THEY ARE ABLE TO DO ONE PILOT PROJECT IN EAST ST. LOUIS AND ONE IN PEORIA.

>> IS THERE A SITE YET?

>> NOT YET.

THEY ARE WORKING ON IT DILIGENTLY.

>> YOU CAN'T SAY ANYTHING TO ME, IS THAT WHAT YOU ARE TELLING ME?

>> THAT IS CORRECT.

>> WE'LL LOOK FOR THAT SOON.

>> ANTHONY, IN THE COUPLE OF MINUTES REMAINING, IF YOU WOULD, PLEASE, COULD YOU GIVE US KIND OF SOME HOPE, I GUESS?

I WANT TO END ON SOME SORT OF POSITIVE NOTE.

WHAT DOES THE FUTURE LOOK LIKE FOR ELECTRIC SUPPLY AND REMEMBERING ELECTRIC SUPPLY IS ONLY A PORTION OF THE HOMEOWNER'S BILL.

>> MY OPTIMISM WOULD COME FROM THE FACT THAT WE ARE BEGINNING A TRANSITION IN ILLINOIS TOWARDS A DIFFERENT GENERATION MIX AND SEEING NEW AND RENEWABLE RESOURCES COMING ONLINE OVER THE NEXT FEW YEARS.

THE ELECTRICITY INDUSTRY IS A LARGE AND COMPLEX INDUSTRY THAT IS CAPITAL INTENSETIVE AND TAKES TIME TO CHANGE.

IT IS ALSO AN INDUSTRY, THAT, IN MY OBSERVATION, LEARNS FROM THINGS WHEN THEY GO WRONG.

LOOKING AT THE POLAR VORTEX SEVERAL YEARS AGO, THEY LOOKED AT WHAT WENT WRONG WITH THE DISTRIBUTION AND TRANSMISSION GRID AND MADE ADJUSTMENTS.

I HAVE CONFIDENCE IN THE ELECTRICITY ISSUE TO ADAPT AND TO LEARN AND TO CHANGE WITH CHANGING TIMES AND CHANGING ADD ADDITION.

AGAIN, IT IS NOT A CHANGE THAT HAPPENS OVERNIGHT.

>> WITH THAT, WE HAVE RUN OUT OF TIME ON THIS PARTICULAR PROGRAM.

WE HOPE YOU CONTINUE THE CONVERSATION AT HOME.

THANK YOU TO PATRICK URICH, AND ANTHONY STAR, THE DIRECTOR OF THE ILLINOIS POWER AGENCY.

THANK YOU BOTH FOR JOINING US ON "AT ISSUE."

WE WILL BE BACK IN A COUPLE OF WEEKS WITH ANOTHER EDITION OF "AT ISSUE."

PLEASE JOIN US THEN.

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