This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

AARP, CUB Mount Statewide Campaign Against Auto Rate-Hikes Bill

SB 1665/HB 2414 WOULD SLAM ILLINOIS CONSUMERS WITH A DECADE OF YEARLY, AUTOMATIC RATE HIKES TOTALING UP TO $3 BILLION

CHICAGO, March 26, 2013 /PRNewswire-USNewswire/ -- Gas utilities are pushing legislation that would cripple consumer protections and hit customers with the equivalent of a 10-year "natural gas tax" of up to $3 billion, AARP Illinois and the Citizens Utility Board (CUB) warned Tuesday as they kicked off a statewide campaign against Senate Bill 1665/House Bill 2414.

Peoples Gas, North Shore Gas, and Ameren—whose parent companies made $840 million in profits in 2012— are pushing the General Assembly to pass the bill, which would set rates by formula and open the door for a decade of yearly, automatic rate hikes.

However, CUB and AARP, as part of a consumer coalition called ROAR—Ratepayers Opposed to Automatic Rate Increases, urged people to visit www.StopIllinoisRateHikes.com. There, consumers can find easy ways to contact state legislators and ask them to oppose the bill.

"This legislation is merely an attempt to skirt consumer protections against unfair increases and hit Illinois consumers with the equivalent of a 'gas tax' of up to $3 billion," CUB Executive Director David Kolata said. "The current regulatory system allows utilities to get the rate hikes they need—but first they have to prove they actually need them." 

"Higher natural gas rates will significantly hurt low-income families who live paycheck to paycheck, individuals who have lost their jobs, and older residents living on fixed incomes, all of whom rely on utilities for their well-being and health," said AARP Illinois State Director Bob Gallo. "As electric, water and telephone companies have joined natural gas providers with legislation of their own, we urge consumers to call our Affordable Utilities Hotline (1-800-719-3020) to get connected to their legislators and urge them to oppose these bills."

Currently, gas utilities have to prove they need a rate increase in 11-month cases before the Illinois Commerce Commission (ICC). This bill would essentially leapfrog that process, opening the door for automatic rate hikes that guarantee utilities a generous Return on Equity (ROE), or profit rate for shareholders.  

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 18,096.90 -106.47 -0.58%
S&P 500 2,098.53 -9.25 -0.44%
NASDAQ 4,967.1410 -12.76 -0.26%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs