Illinois

The State of Electricity in the State of Illinois

Illinois has a larger supply of energy than most states. In addition to operating its own nuclear plant, the state benefits from its role in refining crude oil and producing ethanol. Maybe this is why real electricity prices have decreased and are projected to continue decreasing.

Another possible explanation for the decreasing prices is the (1997) deregulation of Illinois’s electricity market. This policy provides extra freedom to electricity consumers, who may now seek out an electricity provider other than their default utility. Businesses can join the party, too, and sometimes negotiate especially good rates by virtue of consuming in large volumes.

How to Switch

It’s not complicated to change your electricity provider. Once you’ve decided on the contract that’s right for you, you fill out a form online or make a phone call. Nothing needs to be installed you’ll immediately start seeing savings on your monthly bill.

But how do you decide which contract is the best? It’s not just by finding the lowest advertised rate. Rates are important, but can be deceptive. It’s important to also think about the following:

Monthly changes in the pricing scheme. With some contracts, the initial rate is actually the rate you’ll be paying. More commonly, you’ll pay a rate that varies from month to month. With a plan like this, you’re almost guaranteed to pay less money than you do to the utility company.

Length of Contract. Electricity contracts can last for six, twelve, or twenty four months—and for other lengths too. This might be the most important feature of the contract to notice, since it determines how long you’re stuck with all the others! Note that some companies don’t require an extended contract at all; you pay from month to month and can leave without a termination fee.

Signup Bonuses. Plenty of companies offer incentives to attract the business of new customers. These might come in the form of discounts on the electricity, or as more exotic items like airfare or hotel tickets. These are exciting, but don’t forget that they only come around once.

Electricity Source. Maybe you’re not happy with power from burnt coal or nuclear plants. With deregulation, you now get some control over where your electricity comes from. You can sign up to receive your electricity from all renewable sources. Sometimes you can be even more specific and hook up with the solar plant or wind farm of your choice.