Stupid new law in Illinois!

[rob62521]

Last week our local news media told about a new law in Illinois that states power companies can bill customers extra to make up their losses on those customers who have not paid their bills. Most of us in Central Illinois are livid over this...and we are sharing our disgruntlement not only with Ameren, but the so called representatives of the people: legislators!

[segmond]

so does that mean they will forgive the bill of those customers who haven't paid or reimburse everyone when they finally get paid?

[banditfist]

Tax the rich to pay the poor?

[myrdale]

In Georgia, they are planning on building a new nuclear plant. They are planning on charging customers extra on their bill every month to fund the project.

I would really like to know what the average electric bill is for these "poor" people who do not pay their bill. If they can not afford it, then they need to turn the AC and TV off and not run ever light in the house on during the day.

It is the equlaviate of a restraunt charging you more for your dinner because other people skipped on their check.

[Joan.of.the.Arch]

Ameren is my source for electric power and I'm in a state neighboring you, so I am curious about this. It doesn't sound like it is a done deal, just yet.

Ameren seeks fee to make up for uncollectible bills - Galesburg, IL - The Register-Mail

[rob62521]

so does that mean they will forgive the bill of those customers who haven't paid or reimburse everyone when they finally get paid?

I really doubt there would be any reimbursement.

[Scanner]

I am not necessarily defending this law or attacking it but owning a business. . .in a way, you always do charge your good customers more to offset the deadbeats.

My collection rate is around 95%. I just know 5% is a loss per year. Yeah, I can go after the 5%. . .all the way from "Please pay your bill" letters. . .to a collection agency. . .or even put a lien or judgment on them. But there are diminsihing returns on each step you take. Therefore, I have to figure to stay in business that I spread the 5% loss around to keep up.

I actually figured all businesses do this and am surprised the utilities didn't do it before in IL.

[PrincessPerky]

Utilities are a regulated company, meaning they cannot change their rates without going through the courts.

This means your utilities are NOT operating under free market principles, not over charging extra to cover losses, nor aiming for the best price to beat competitors.

So if you are complaining about the cost of utilities, remember the cost of your recent computer, free market drives that price down, (though no market in America can truly be considered free) No such natural method for driving utilities down exists for utilities.

Which btw since they run the AC in northern states and heat in southern states, and cable, and internet and playstations everywhere, electric is a so called need that can quickly be wasted. For hundreds of years folk survived without electricity (plenty in northern Canada still do, in much colder weather than the US) There is no reason for the govt to use a gun to force us to pay for other folk to have it.

Used to be folk who felt others needed help would step up and help, now our rallying cry is "There aughta be A LAW!"

[disneysteve]

For hundreds of years folk survived without electricity

Dozens, if not hundreds, of people die each year in the US, mostly elderly folks, because they don't have AC or heat. I had 2 patients that I can think of who were stricken by the heat this summer because they didn't want to run their AC due to cost. Fortunately, they both recovered, but had their families not checked in on them when they did, the outcome easily could have been different.

So I would debate whether electricity can really be considered a luxury.

Remember, people lived without a lot of modern inventions for a long time, but they also didn't live nearly as long.

[toboramai]

Utilities are a regulated company, meaning they cannot change their rates without going through the courts.

This means your utilities are NOT operating under free market principles, not over charging extra to cover losses, nor aiming for the best price to beat competitors.

So if you are complaining about the cost of utilities, remember the cost of your recent computer, free market drives that price down, (though no market in America can truly be considered free) No such natural method for driving utilities down exists for utilities.

Which btw since they run the AC in northern states and heat in southern states, and cable, and internet and playstations everywhere, electric is a so called need that can quickly be wasted. For hundreds of years folk survived without electricity (plenty in northern Canada still do, in much colder weather than the US) There is no reason for the govt to use a gun to force us to pay for other folk to have it.

Used to be folk who felt others needed help would step up and help, now our rallying cry is "There aughta be A LAW!"

In Texas and California, it is a deregulated market. It has resulted in market manipulation and caused prices to rise. Free markets don't always result in lower prices. Specifically in electricity, the states that have deregulated show the opposite.

[asmom]

In Texas and California, it is a deregulated market. It has resulted in market manipulation and caused prices to rise. Free markets don't always result in lower prices. Specifically in electricity, the states that have deregulated show the opposite.

That is exactly the case in Georgia.

[asmom]

For hundreds of years folk survived without electricity (plenty in northern Canada still do, in much colder weather than the US)

They also survived without safe drinking water, antibiotics, etc. Well, some of them did.......

Used to be folk who felt others needed help would step up and help, now our rallying cry is "There aughta be A LAW!"

When was that? I think the reason people argue for the laws is because other people don't or can't step up to help.

[simpletron]

the electric company already does have some deadbeat protection priced in the rate, but they are probably exceeding it. So they ask the government for addition protection, which is understandable. and it would be completely understandable for the government to give it to them if they added some line about the additional fee going away once the recession ends and/or the number of deadbeat goes down back to normal levels.

[PetMom]

The power of electric companies is so powerful.

You don't pay used to they would just cut off your electricity.

Then we noticed they had a section on our bill where we could all pay a dollar of so to help out the poor who could not pay.

Seems as if that is not enough now and in GA they are doing this. Cannot mean TX is not far behind on this profitable fee structure.

And electricity in the old days and not having any around?

The homes were built totally different. The houses had the air circulate more easily with the way the windows were located. They left the doors open (screen doors are rarely around now) and they did not have the heat factor from all the pavement that cities have. People were used to the heat also, but they still were hot.

DS is right many people are found dead from not running or having an ac (average cost of a central unit is easily at least $3,000.00). The elderly are really vulnerable. People do not open windows for air because of crime concerns. Window units might be making a comeback. And there are programs to distribute fans to the elderly.

But still, all are at the mercy of big unregulated electricty.

Maybe we should all go solar and have the utility co. pay us? Some people are actually doing this and was quite surprised to find a house nearby with a huge solar panel on it.

[Scanner]

I think heat waves are the #1 natural disaster cause of deaths. . .overshadows hurricanes. Don't quote me on that.

That being said, that is hardly the fault of electric companies. The elderly don't seem to have an internal alarm system to let them know they are getting overheated.

I still recall when I was younger my Italian grandmother in the kitchen, in July in 95 degree heat, boiling live crabs, sweat pouring off of her, saying, "I don't feel hot. I don't need AC."