Illinois Approves Retail Wheeling Trials

Fortnightly Magazine - June 1 1996
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The Illinois Commerce Commission (ICC) has OK'd experimental wheeling programs advanced by two of the state's major investor-owned utilities, Illinois Power Co. and Central Illinois Light Co. Both plans focus on large industrial customers, but Central Illinois would also allow direct access for commercial and residential customers over a five-year period in five defined test areas (called "open access sites"). The plans offer unbundled transmission rates based on embedded-cost

tariffs filed at the Federal Energy Regulatory Commission.

Each utility anticipates revenues losses (borne by shareholders):

s Illinois Power will permit 21 of its largest industrial customers to buy from 2 to 10 megawatts (Mw) each from other suppliers, up to a total of 50 Mw. It estimates a net annual revenue loss of $3.1 to $7.5 million from load-shifting. It also agreed to conduct a cooperative feasibility study for residential and commercial direct access.

s Central Illinois will allow its eight largest industrial customers to seek offsystem supplies up to a total of 50 Mw for a period of two years. It expects a potential loss of up to $3.1 to $4 million per year in net income from reduced purchases by industrial customers.

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