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State report: Energy shortfalls loom in Illinois (Updated)

Tuesday, Dec 16, 2025 - Posted by Rich Miller

* I went over this report with subscribers early today. Crain’s

Northern Illinois will soon transition from being a net exporter to a net importer of electricity and faces potential power shortages in the next several years.

A new report prepared by several state agencies highlights the challenges facing energy customers in Illinois as the state transitions away from fossil-fuel power plants at the same time that demand for power is skyrocketing because of data centers and other large users of electricity.

With demand for power in the area served by Commonwealth Edison projected to increase 24% between 2025 and 2030, Northern Illinois will begin to import power from the PJM regional grid starting in 2030, according to the report out today from the Illinois Power Agency, Illinois Commerce Commission and Illinois Environmental Protection Agency. […]

But one thing is clear: Power prices, which have increased sharply in the past two years, are going to keep rising. The report projects spending on power across ComEd’s territory will nearly double from $2.1 billion annually to $3.9 billion by 2030.

A bill passed during veto session, which the governor has said he’ll sign, will allow the government to ease pollution reduction mandates in the face of looming power shortages.

You can find the full report here.

* Sun-Times

The report suggests natural gas plants could be built in the state to help bridge the power needs until cleaner sources of electricity, such as solar and wind, are constructed. One state lawmaker said it will likely delay the closing of some dirtier, more polluting gas plants that are supposed to shut down in the next several years under the 2021 law.

“The upshot is the energy transition in Illinois is likely to be more gradual and more reliant on natural gas plants than previously thought,” said state Sen. Bill Cunningham, a Democrat from Beverly.

Cunningham has been a point person in Springfield on clean energy legislation.

“We tried to expect the unexpected,” he added. “The unexpected turned out to be data centers.” […]

In a statement, a Pritzker spokesperson said the “state set up a deliberate process to address findings from this resource adequacy study,” and said the governor will sign the most recent energy legislation passed in October.

The report says that data centers are the “primary driver” behind increased electricity demand. As subscribers know, there’s lots more in that report, so click here. Subscribers also have access to reactions to the report which aren’t mentioned in either of the above stories, so click here for that.

* Meanwhile, Amazon is trying to defend its data center energy usage with a weird claim

Amazon pays for its own electricity costs—these expenses aren’t added to the bills of local residents or businesses.

Nobody, but nobody is saying that.

…Adding… From the governor’s office…

“The new state resource adequacy report confirms what we have known: rising demand and changes in generation, both in Illinois and across the region, are reshaping the energy landscape. Illinois is prepared, with a strong grid and remains an energy exporter today that continues to deliver reliable power for working families and businesses.

Under Governor Pritzker’s leadership, the state has acted proactively through the Climate and Equitable Jobs Act (CEJA) and the Clean and Reliable Grid Affordability Act (CRGA) — which he intends to sign — to strengthen planning, manage reliability risks, and lower energy costs for working families. Thanks to CEJA, Illinois not only saved our nuclear reactors but also expanded our renewable energy portfolio, resulting in 7,369 MW more power than Illinois would have had without these policies, and another 7,456 MW underdevelopment. CRGA builds on this by adding 3,000 MW of battery storage to the state’s resource mix. At the regional level, the Governor is actively pushing PJM to address rising capacity costs and ensure the grid remains reliable and lower costs for all Illinois working families and businesses.

With two strong laws, the state set up a deliberate process to address findings from this resource adequacy study and ensure Illinois continues to lead the country in delivering a clean, reliable, affordable energy future for all.”

       

12 Comments
  1. - Blue Dog - Tuesday, Dec 16, 25 @ 2:41 pm:

    but we are mothballing coal plants in southern Illinois, yet barging southern Illinois coal overseas. doesn’t make a whole lot of sense.


  2. - Candy Dogood - Tuesday, Dec 16, 25 @ 2:51 pm:

    ===Nobody, but nobody is saying that. ===

    It is such an odd thing to be saying it makes me wonder if somewhere out there Amazon is passing their electrical expenses onto local residents or businesses.

    Either that, or someone is doing a poor job of trying to suggest that Amazon’s demand for electricity is not driving rates higher and causing increased prices for consumers — which wouldn’t be true but at least would provide an explanation for such an odd thing to say.


  3. - New Day - Tuesday, Dec 16, 25 @ 2:55 pm:

    This report presents a firm grasp of the obvious. That’s not meant as a criticism but more as a recognition of trends that have been clear for the last two years. Folks in the renewable industry have tried raising the alarm bells on this. Bottom line, as Crain’s said, “But one thing is clear: Power prices, which have increased sharply in the past two years, are going to keep rising.” We just need to hope we have enough energy and capacity to satisfy what hopefully will be a growing economy.


  4. - The Farm Grad - Tuesday, Dec 16, 25 @ 3:12 pm:

    “but we are mothballing coal plants in southern Illinois, yet barging southern Illinois coal overseas. doesn’t make a whole lot of sense. ”

    Meanwhile, China inaugurates five coal plants a month because AI needs the dispatchable power that solar and wind can’t provide. Also, China has 30 nuclear power plants under construction


  5. - Blue Dog - Tuesday, Dec 16, 25 @ 3:19 pm:

    JB Pritzker cannot win a national election based on his performance in this area. Raise Illinois electric rates under the guise of clean energy, but sending Illinois coal overseas so our competitors can have cheap energy. I guess out of sight is out of mind.


  6. - Think again - Tuesday, Dec 16, 25 @ 3:44 pm:

    = The report suggests natural gas plants could be built in the state to help bridge the power needs until cleaner sources of electricity, such as solar and wind, are constructed=

    Governor Pritzker is basically walking back many of the more onerous provisions of his environmentally, focused Ceja bill , which had economically unrealistic zero carbon emissions provisions.


  7. - ArchPundit - Tuesday, Dec 16, 25 @ 4:55 pm:

    ==sending Illinois coal overseas

    We don’t use Illinois coal much in the United States because it’s expensive to burn without releasing an unhealthy amount of sulfur. It’s also more expensive than every other option. Natural gas, nuclear, wind, and solar, and renewable with battery are all cheaper. Pretending coal, especially Illinois mined coal, is a way to lower costs ignores both the actual cost and externalities.


  8. - Da big bad wolf - Tuesday, Dec 16, 25 @ 5:54 pm:

    ===Raise Illinois electric rates under the guise of clean energy, but sending Illinois coal overseas so our competitors can have cheap energy. I guess out of sight is out of mind.===

    This confuses me.

    Isn’t the coal owned by private companies? Don’t they sell their product to the highest bidder? Are we a capitalist country? How does the governor tell a private company who to sell their products to?


  9. - Da big bad wolf - Tuesday, Dec 16, 25 @ 5:54 pm:

    ===Raise Illinois electric rates under the guise of clean energy, but sending Illinois coal overseas so our competitors can have cheap energy. I guess out of sight is out of mind.===

    This confuses me.

    Isn’t the coal owned by private companies? Don’t they sell their product to the highest bidder? Are we a capitalist country? How does the governor tell a private company who to sell their products to?


  10. - NorthSideNoMore - Tuesday, Dec 16, 25 @ 7:13 pm:

    Bring on a new round of legislation for subsidies for “clean energy” paid for by the consumer.


  11. - ArchPundit - Tuesday, Dec 16, 25 @ 7:35 pm:

    ===Bring on a new round of legislation for subsidies for “clean energy” paid for by the consumer.

    Seriously, you all need to look at what the energy market is doing right now. Renewables and especially solar and batteries have had dramatic reductions in prices making them far more competitive than any fossil fuel. I don’t really understand the weird obsession with burning stuff that pollutes the air when you have another choice, but I especially don’t get it when you have to pay more for it.


  12. - Oxfordian - Thursday, Dec 18, 25 @ 11:28 am:

    Amazon may just be trying to get press for their own study: https://www.aboutamazon.com/news/sustainability/data-centers-electricity-bills-grid-power-amazon

    The study itself is here: https://www.ethree.com/wp-content/uploads/2025/12/RatepayerStudy.pdf


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