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Informational
Bulletin

FY 2025-13
December 2024

This bulletin is written to inform you of recent changes; it does not replace statutes, rules and regulations, or court decisions.

For information:

Visit our website at:
tax.illinois.gov

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1 217 782-5906

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FY 2025-13, Energy Assistance Charge Rate Change, Effective January 1, 2025

To: All Electric and Natural Gas Utilities and Cooperatives

Effective January 1, 2025, pursuant to Section 13 of the Energy Assistance Act, (305 ILCS 20/13), the rates for the Energy Assistance Charge for utilities and cooperatives that served 100,000 or more Illinois customers on January 1, 2021, are changing.

Effective January 1, 2025, what are the new Energy Assistance Charge rates for electric or gas utilities that served more than 100,000 customers on January 1, 2021?

Effective January 1, 2025, for electric or gas utilities or cooperatives that served 100,000 or more Illinois customers on January 1, 2021, the monthly Energy Assistance Charge rate on each account will be:

  • $0.64 for residential electric or gas service, which is the 2025 Base Energy Assistance Charge.
  • $6.40 for non-residential
    • electric service accounts with less than 10 megawatts of peak demand during the previous calendar year, or
    • gas service accounts that had less than 4,000,000 therms of gas distributed to them during the previous calendar year.

      This amount is ten times the 2025 Base Energy Assistance Charge.
  • $240.00 for non-residential
  • electric service accounts with 10 or more megawatts of peak demand during the previous calendar year, or
    • gas service accounts that had 4,000,000 or more therms of gas distributed to them during the previous calendar year.

      This amount is three hundred seventy-five times the 2025 Base Energy Assistance Charge.

These rates are calculated using a base Energy Assistance Charge of $0.64. The monthly Energy Assistance Charge rate is calculated as follows:

  • Base Energy Assistance Charge for residential electric or gas service,
  • 10 X Base Energy Assistance Charge for non-residential accounts below 10 megawatts of peak demand (electric) / 4 million therms of gas distributed during the previous calendar year, and
  • 375 X Base Energy Assistance Charge for non-residential accounts equal to or above 10 megawatts of peak demand (electric) / 4 million therms of gas distributed during the previous calendar year.

Why is the Base Energy Assistance Charge increasing for electric or gas utilities that served more than 100,000 customers on January 1, 2021?

The Base Energy Assistance Charge for electric or gas utilities that served more than 100,000 customers on January 1, 2021, shall be increased any calendar year by $0.16 per month, provided that 80% or more of the funding in the Supplemental Low-Income Energy Assistance Fund for the previous State fiscal year was exhausted. The maximum Base Energy Assistance Charge shall not exceed $0.96 per month for any calendar year. 305 ILCS 20/13(b).

The Illinois Department of Commerce and Economic Opportunity (DCEO) has notified IDOR that 80% or more of the funding in the Supplemental Low-Income Energy Assistance Fund for the State fiscal year 2024 has been exhausted; thus, effective January 1, 2025, the Base Energy Assistance Charge is being increased by $0.16 to $0.64.

What is the Supplemental Low-Income Energy Assistance Fund?

The Supplemental Low-Income Energy Assistance Fund is funded by the Energy Assistance Charges collected by gas and electric utilities or cooperatives and is administered by DCEO. The Fund is used to assist low-income Illinois residents with electric and gas bill payments and to provide for the State of Illinois weatherization program. 305 ILCS 20/13(a).

Are the Energy Assistance Charge rates changing for electric or gas utilities that served less than 100,000 customers in Illinois on January 1, 2021?

No. For electric or gas utilities or cooperatives that served less than 100,000 Illinois customers on January 1, 2021, the monthly Energy Assistance Charge rate on each account will remain as follows:

  • $0.40 for residential electric or gas service.
  • $4.00 for non-residential
    • electric service accounts with less than 10 megawatts of peak demand during the previous calendar year, or
    • gas service accounts that had less than 4,000,000 therms of gas distributed to them during the previous calendar year.
  • $300.00 for non-residential
    • electric service accounts with 10 or more megawatts of peak demand during the previous calendar year, or
    • gas service accounts that had 4,000,000 or more therms of gas distributed to them during the previous calendar year. 86 Ill. Adm. Code 516.120(a)

How do gas and electric utilities and cooperatives report the Energy Assistance Charges to IDOR?

For Electric Utilities or Cooperatives - Electric utilities or cooperatives must file Illinois Form RPU-6, Assistance Charges Return for Electricity Distributors, by the 20th day of the month to report and remit the charge collected from their customers during the preceding month.

For Gas Utilities or Cooperatives - Gas utilities or cooperatives must file Illinois Form RG-6, Assistance Charges Return for Natural Gas Distributors, by the 20th day of the month to report and remit the charge collected from their customers during the preceding month.

We encourage you to file and pay electronically on MyTax Illinois, available at mytax.illinois.gov.

Where can I get additional information?

For more information, call weekdays between 8:00 a.m. and 4:30 p.m. at 217 782-5906. You may also visit our website at tax.illinois.gov.

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