Electricity Wholesalers File Federal Lawsuit To Block Illinois Nuclear Plant Subsidies

Dynergy and other electricity wholesalers have filed suit in federal court in Chicago to block the subsidies for unprofitable nuclear power plants in Clinton and the Quad Cities passed by the Illinois legislature and signed into law by Governor Rauner from taking effect as scheduled this June. The subsidies would add about 25 cents per month to the power bills of 3.1 million customers served by Commonwealth Edison and about 12 cents per month to the bills of 1.2 million central and southern Illinois customers served by the Illinois Power reactor in Clinton. Exelon had threatened to shutter the two nuclear facilities if the legislation did not pass.

The legislation was passed and sent to Governor Rauner in order to save jobs at the nuclear power plants in the state, and would provide about $235 million per year to Exelon to keep the two reactor sites running. Houston baser Dynergy nd the other wholesaler plaintiffs assert in the complaint that the Federal Energy Regulatory Commission has exclusive jurisdiction over the energy market auction, and that the rate hikes discriminate against out of state power wholesalers. Exelon responds that similar subsidies have been provided to wind and solar electricity producers for years, and extending the assistance to existing and aging nuclear plants is nothing new or discriminatory.