94TH GENERAL ASSEMBLY
State of Illinois
2005 and 2006
HB3237


 
Introduced 2/22/2005, by Rep. Tom Cross
 
SYNOPSIS AS INTRODUCED:
 		














220 ILCS 5/16-101A









    Amends the Public Utilities Act. Makes a technical change in a Section concerning legislative findings.
















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A BILL FOR









 











HB3237

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    AN ACT concerning regulation.

 
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    Be it enacted by the People of the State of Illinois,
 
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represented in the General Assembly:


 
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    Section 5. The Public Utilities Act is amended  by changing 
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Section 16-101A as follows:
 



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    (220 ILCS 5/16-101A)



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    Sec. 16-101A. Legislative findings. 

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    (a) The
The citizens and businesses of the State of 
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Illinois
have been well-served by a comprehensive electrical 
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utility
system which has provided safe, reliable, and 
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affordable
service.  The electrical utility system in the State 
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of
Illinois has historically been subject to State and federal

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regulation, aimed at assuring the citizens and businesses of

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the State of safe, reliable, and affordable service, while at

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the same time assuring the utility system of a return on its

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investment.

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    (b) Competitive forces are affecting the market for

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electricity as a result of recent federal regulatory and

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statutory changes and the activities of other states.

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Competition in the electric services market may create

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opportunities for new products and services for customers and

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lower costs for users of electricity. Long-standing regulatory

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relationships need to be altered to accommodate the
competition 
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that could fundamentally alter the structure of
the electric 
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services market.

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    (c) With the advent of increasing competition in this

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industry, the State has a continued interest in assuring that

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the safety, reliability, and affordability of electrical power

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is not sacrificed to competitive pressures, and to that end,

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intends to implement safeguards to assure that the industry

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continues to operate the electrical system in a manner that

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will serve the public's interest. Under the existing
regulatory 
 


 






HB3237
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framework, the industry has been encouraged to
undertake 
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certain investments in its physical plant and
personnel to 
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enhance its efficient operation, the cost of
which it has been 
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permitted to pass on to consumers. The
State has an interest in 
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providing the existing utilities a
reasonable opportunity to 
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obtain a return on certain
investments on which they depended 
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in undertaking those
commitments in the first instance while, 
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at the same time, not
permitting new entrants into the industry 
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to take unreasonable
advantage of the investments made by the 
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formerly regulated
industry.

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    (d) A competitive wholesale and retail market must
benefit 
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all Illinois citizens. The Illinois Commerce
Commission should 
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act to promote the development of an
effectively competitive 
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electricity market that operates
efficiently and is equitable 
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to all consumers. Consumer
protections must be in place to 
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ensure that all customers
continue to receive safe, reliable, 
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affordable, and
environmentally safe electric service.

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    (e) All consumers must benefit in an equitable and timely

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fashion from the lower costs for electricity that result from

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retail and wholesale competition and receive sufficient

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information to make informed choices among suppliers and

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services. The use of renewable resources and energy efficiency

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resources should be encouraged in competitive markets.

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(Source: P.A. 90-561, eff. 12-16-97.)