Did you know that when you pay your electric bill, you are paying for both a service and a product? About two-thirds of your monthly bill pays for the electricity itself. The remaining third pays for ComEd to deliver the electricity to your home or business.

ComEd doesn’t generate the electricity “product.” We buy electricity on behalf of customers in the wholesale electricity market. At the end of 2006, our current electric supply contracts expire, requiring us to establish new contracts for 2007 and beyond.

Since 1997, while the national Consumer Price Index has risen 25 percent, electric rates in Illinois have been cut 20 percent.  Beginning in 2007, rates will increase because the cost of electricity has increased during the nine-year rate cut and freeze, as have our costs to deliver that power.

We understand that rate increases can be difficult. ComEd has proposed a plan that would phase in residential increases over time to ease the transition to the new rates.

Even in 2007, electricity will continue to be a great value. You can be assured that the very best system is in place in Illinois to offer reliable service at a reasonable cost. As always, ComEd remains committed to providing you with the quality service that you deserve and expect.