August 28, 2007

To the Honorable Members of the

Illinois Senate

95th General Assembly

Pursuant to Article IV, Section 9(e) of the Illinois Constitution of 1970, I hereby return

Senate Bill 215, entitled “AN ACT concerning regulation.”, with the following specific recommendation for change:

On page 2, line 12, after “utility.”, by inserting “Notwithstanding the requirements of subsections (b), (c), and (d) of this Section, a public utility shall reduce the amount of energy efficiency measures implemented in any single year by an amount necessary to limit the estimated average increase in the amounts paid by retail customers in connection with electric service due to the cost of those measures to: (1) in 2008, no more than 0.5% of the amount paid per kilowatthour by those customers during the year ending May 31, 2007; (2) in 2009, the greater of an additional 0.5% of the amount paid per kilowatthour by those customers during the year ending May 31, 2008 or 1% of the amount paid per kilowatthour by those customers during the year ending May 31, 2007; (3) in 2010, the greater of an additional 0.5% of the amount paid per kilowatthour by those customers during the year ending May 31, 2009 or 1.5% of the amount paid per kilowatthour by those customers during the year ending May 31, 2007; (4) in 2011, the greater of an additional 0.5% of the amount paid per kilowatthour by those customers during the year ending May 31, 2010 or 2% of the amount paid per kilowatthour by those customers during the year ending May 31, 2007; and (5) thereafter, the amount of energy efficiency measures implemented for any single year shall be reduced by an amount necessary to limit the estimated average net increase due to the cost of these measures included in the amounts paid by eligible retail customers in connection with public utility service to no more than the greater of 2.015% of the amount paid per kilowatthour by those customers during the year ending May 31, 2007 or the incremental amount per kilowatthour paid for these measures in 2011.  No later than June 30, 2011, the Commission shall review the limitation on the amount of energy efficiency measures implemented pursuant to this Section and report to the General Assembly its findings as to whether that limitation unduly constrains the procurement of energy efficiency measures.”.

With this change, Senate Bill 215 will have my approval. I respectfully request your concurrence. 

Sincerely,

ROD R. BLAGOJEVICH

Governor