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Sunday, February 17, 2008 12:27 AM CST
Our View: Pay more, says Ameren, for your own good



Perhaps many Ameren customers in Illinois have wanted honesty from the company regarding its rate hikes, but, as the saying goes, be careful what you wish for.

At least, “honest” is a polite way to describe the comment of Craig Nelson, Ameren’s vice president of regulatory affairs and financial services, during a Monday meeting to gather information for the Illinois Commerce Commission. That panel will give a thumbs-up or a thumbs-down to Ameren’s latest request for a rate increase.

Nelson said: “We carefully weighed our options before filing these rate cases. We truly think it’s in the best interest of our customers to have this increase.”

Gosh, that’s thoughtful.

Utility customers probably appreciate Ameren considering their “best interest,” which to this gluttonous utility company means a rise in prices that will bring it $247 million in additional revenue. Ameren wants to charge consumers more for delivering electricity and gas, and that’s the portion of utility bills where they make their profit.

Some customers may even admire Nelson for his, um, honesty — when is the last time an official said a company decided it does its customers good to make them pay more?

Oh Ameren, Ameren, Ameren — including AmerenIP, AmerenCIPS and AmerenCILCO — it’s so convenient that what this firm’s leaders see as in the “best interest” of consumers also happens to add profits to the company’s bottom line.

Amazingly enough, concerned area residents at the same meeting didn’t echo Nelson’s warm-and-fuzzy assessment of price hikes. Most of them likely have fresh in their minds the soaring prices from just over a year ago, the Illinois legislature’s months-long struggle to at least appear to help customers, and the ensuing “relief” package that still left many energy users holding the big fat bill.

Fair profits for any company are just common sense. No reasonable person would deny any business the opportunity to make a profit. The key word, yet again, is “fair.” There is little doubt that Ameren’s costs are increasing, but it seems more in line with a spirit of fairness that the company take a little bit of a hit on profits rather than seeking more blood from the turnip, i.e., the consumer.

At the ICC information-gathering meeting, one resident summed up what most Ameren customers must be thinking: Gary Mathias of Macon said, “The only reason they’re asking for a rate increase is because they can.”

A rate hike in the “best interest” of Ameren customers? No, Mr. Nelson, we utility bill payers, after careful consideration, truly think it’s in the best interest of Ameren to back off of these greedy price hikes. In light of the many people having to choose between prescription medicines and paying their electric bill, forced to decide whether to buy groceries or allot money for a gas bill to stay warm during the winter, it is clear that Ameren’s request for a rate increase should be denied.

If the ICC is in any way in touch with reality, it will agree.

— JG/T-C Editorial Board


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out-there wrote on Feb 17, 2008 8:50 AM:

" The peasant price gouging continues, any company that makes excessive profits that hurts economic growth should be under fed investigation from power companys to oil companys.Our pollticain are to busy investigating a over payed sports figure.I don't buy the reason for this devious diversion.
Maybe someone from Ameren would like to let the public know there stants on the whole future gen project.No comment seems alittle suspect.May be the big Ceo's would like to live pay check to pay check with someone's hand constantly in your wallet.
Our pollticain need to pay attention to real problems of our country not special intrest,makes you wonder who's doing more damage to this country Pollicain or terrorist. "

Dohbaugh wrote on Feb 17, 2008 2:27 PM:

" I'll bet that explains the high price of gas at the pump too. It's in our best interest. Those folks at the power companies are really just looking our for our best interests, so we should be happy about any more rate increases. I'm sure all of their customers will see it that way too. "

Rotty wrote on Feb 17, 2008 7:40 PM:

" Thank You so much for looking out for our best interest, AmerenCIPS. You do truely care for your customers.

We really really love you....... NOT!!!!

In the battle of Kill Or Get Killed, AmerenCIPS sure does an A-1 job. Congratulations, Ameren, take a few more grand out of petty-cash. Thanks for thinking of the little people, KNUCKLEHEADS!

Good column, JG-TC! "

Harry Potter wrote on Feb 18, 2008 7:58 AM:

" Craig Nelson, spokesman for Ameren, must be a Bush style Republican. Bush's chairmen of the president's Council of Economic Advisors, N. Gregory Mankiw, said of the millions of jobs moved overseas during Bush's reign, that it was probably a plus for the economy in the long run. You gotta love that Republican logic. "

Becky wrote on Feb 18, 2008 9:10 AM:

" What a load of baloney! I have lived on a budget my entire life. After 30 years, I have learned how to be thrifty and prioretize. I can get hamburger and potatoes, beans and macaroni to stretch my food budget. I can cut out long drives, going to the movies and expensive clothing; and I have. The only damn bill that I worry about is the CIPS bill because it blows away any form of savings that I may try to put away. I keep my thermostat at 67 or 68 and my last bill was $370 PLUS another $79 for a deposit (that I will be charged EVRY MONTH for the next 6 months) because I was late a couple of months. The only way we can even fight this crap is by putting thousands of dollars in our homes with insulation, windows, caulking and the like. Most of us don't have that kind of money laying around. Now CIPS wants to charge us more and then also add an extra charge for those who can't afford to pay it? WTF?.......NO, ABSOLUTELY NOT! Legislators, STOP THIS INSANITY! "

The Dude wrote on Feb 18, 2008 9:53 AM:

" I loved Craig Nelson in that TV show "Coach"! "

nonews wrote on Feb 18, 2008 11:10 AM:

" Why don't the big wheels at Ameren give up a few of their 6 figure pay checks if they are in such a bind- don't see that happening do you? "

Mattooner at Heart wrote on Feb 18, 2008 11:46 AM:

" Just to put things in perspective . . . I live in Minnesota. The cost to heat my home in February where temperatures hover below zero every year and several days the "highs" have a "-" in front of them is around $250.

You should be very thankful for being required to pay over $350 for heating your home. What if you lived where it was colder and you had to spend less? Have you ever thought of that?

Some people just can't be happy with anything! It's for your own good . . . CIPS said so and they couldn't say it if it weren't true! Quit griping and start paying through the nose!!! M@H "

The Question wrote on Feb 18, 2008 11:52 AM:

" This is Bush's America, gang. Corporate monopolies have been given the green light to bleed you white. And if you voted for Bush, this is what you voted for. So enjoy. "

Locke wrote on Feb 18, 2008 6:53 PM:

" Okay, I'll calling the JG/T-C Editorial Board out on this. Was it not YOU who told us we should embrace Ameren's last rate hike for our own good?!? Remember how paying 100% more that our (then) current rate would encourage competition to come in and offer us energy at 90% of our (then) current rate? Remember? I'm glad to see the JG/T-C Editorial Board has changed their tune -- or have they? Maybe it's still okay for YOU to tell us what's in our own best interest and it's wrong for Ameren to do so? Oh well. You people make me laugh, even 1,300 miles away. "

Early Bird wrote on Feb 19, 2008 6:25 AM:

" Despite what Mr Nelson said, I think the main concern of those running this company is their own performance bonuses. Maybe those customers who would be better off from a rate increase would be people like himself, and other officials within that company who's salaries are based on the bottom line results. On a positive note, at least the local paper didn't endorse another increase this time. "

gramma36 wrote on Feb 19, 2008 7:43 AM:

" I think several companies have wind mills...they are called wind generators...for sale for use by individuals. Think we shall look into them. From what I have seen, they aren't too expensive and should pay for themselves well within a year.
It would be such fun to tell Ameren to stick it where the sun don't shine. "

cd wrote on Feb 19, 2008 1:59 PM:

" gramma36 wrote on Feb 19, 2008 7:43 AM:
" I think several companies have wind mills...they are called wind generators...for sale for use by individuals. Think we shall look into them. From what I have seen, they aren't too expensive and should pay for themselves well within a year.
It would be such fun to tell Ameren to stick it where the sun don't shine. "

gramma- do you have the name of some of those companies? The only ones I have found start about $10,000, and they aren't practical in town as they need a minimum consistent wind to work. That meaning away from trees and other tall objects. Also, the higher you go, the larger the pattern needed for the support lines to fan out, which could get larger than a persons property.

So if you got some companies that has wind generators that eliminates most of the big problems...enquiring minds want to know. "

Todd Reardon wrote on Feb 19, 2008 2:20 PM:

" Dear Harry: Don't forget the Clinton's either they are the ones that sold out their own voters to pass NAFTA, remember all the jobs it was going to create. I guess I am still waiting for those jobs to be created. Quit being a hack for the DNC. Most people expect the Republicans to be short sighted on workin class issues, but it hurts worst when the Democrats do it because they used to look out for working people. "

Todd Reardon wrote on Feb 19, 2008 2:25 PM:

" Gramma 36 you are right on target. We the people need to seek out energy alternatives, and harness power from the wind and sun, which are in an abundance supply and free. The power companies do not want Politicians who stand up for working people and their needs. There is no exorbitant price for wind like there is for oil or natural gas. "

gramma36 wrote on Feb 19, 2008 5:21 PM:

" cd- Sorry, I checked and found Southwest Windpower has one, installed, for approx. #8500.00 Recompute, this would take our family about 3 1/2 years to pay for itself. Check the search "residential windmill" and decide for yourself. I still like the idea of telling Ameren where to go... "

out-there wrote on Feb 19, 2008 5:54 PM:

" Wasn't NAFTA passed when Repub were in control of congress< Clinton just happen to be president dodging a witch hunt.Wonder how many other president were not faithful.Oh yes the lies,does read my lips no new taxes,ring a bell or why are we in Iraq WMD.I sure am glad the Current Gov didn't get the taxes from all the big corpation the jobs are just flowing in and the cost of evey thing is staying down.like they said it would,so why is it that pay checks don't go as far.Maybe the special intrest groups and the back room politians think this is in our best intrest to.How long has wind mills been around,Wonder what kind of lobbist have keep this from becomming a energy source. "

Harry Potter wrote on Feb 19, 2008 8:44 PM:

" Quit being a hack for the DNC? Isn't that a bit presumptuous of you Todd? Who are you to be telling another poster what to be or what to think, or for that matter, what to post? How about you stick to what you are, what you think and what you post. We don't need any posting cops on here. Disagree with anyone you want, but please don't start telling other how to behave. "

Rotty wrote on Feb 19, 2008 11:23 PM:

" Just to drop my two cents back in on this, in my opinion, I don't see Mr. Reardon trying to say how to act, or behave, or how to post. I believe it wasn't all that long ago alot of dems were jumping on alot of repubs for even trying to constantly rehash or hack on Clinton about certain things.
I guess, all in all, what goes around, comes around, for both sides of the aisle. "

cd wrote on Feb 21, 2008 12:56 PM:

" Out-There, here's the official Wikipedia explantion.
--------------------
History of the implementation

NAFTA was initially pursued by corporate interest in the United States and Canada supportive of free trade, led by Canadian Prime Minister Brian Mulroney, U.S. President George H. W. Bush, and the Mexican President Carlos Salinas de Gortari. The three countries signed NAFTA in December 1992, subject to ratification by the legislatures of the three countries. There was considerable opposition in all three countries. In the United States, NAFTA was able to secure passage after Bill Clinton made its passage a major legislative priority in 1993. Since the agreement had been signed by Bush under his fast-track prerogative, Clinton did not alter the original agreement, but complemented it with the aforementioned NAAEC and NAALC. After intense political debate and the negotiation of these side agreements, the U.S. House passed NAFTA on November 17, 1993, by 234-200 vote (132 Republicans and 102 Democrats voting in favor; 156 Democrats, 43 Republicans, and 1 independent against),[7] and the U.S. Senate passed it on the last day of its 1993 session, Saturday, November 20, 1993, by 61-38 vote (34 Republicans and 27 Democrats voting in favor; 28 Democrats and 10 Republicans against, with 1 Democrat opponent not voting).[8] "

Early Bird wrote on Feb 22, 2008 6:02 AM:

" NAFTA was all about cheap labor. Clinton was up to his neck in one of his many missteps and was trying to appease the Republicans, and show he was relevant (anyone remember Newt's comments after the Republicans took over the House, claiming Clinton was no longer relevant?) with his signature on that legislation. If Clinton had had any guts, he would have taken this issue before the country, and if he had done that, people would have stood up and said no to their representatives, and to the deportation of million of good paying jobs, that have been replaced with low and marginal paying service sector, fast food and retail positions, all too often having poor or no benefits, such as health insurance. Even Republicans, who normally vote for the benefit of corporations, and all too often against the best interest of their constitutes, will vote against corporate America greed, when their district is vocal enough about a particular issue. I have seen this time and again, in following Tim Johnson's voting record. Many of the jobs now available limit a person to less than 40 hours a week, to save the employer any full time benefits costs. This is practiced daily at places like WalMart and McDonald's who hire millions of people, and not just teens and retirees. Places like this are great for those seeking part time jobs, but too many people are having to work there because of a lack of any real employment opportunities. Locally, people who seek employment in what few factory jobs that are left, are forced to go through temp services which take an extremely high part of their earnings for basically doing nothing more than lining them up with an employer. As a result of this, we all pay higher higher taxes to provide the health care of those who can't afford it. Neither party has clean hands when it comes to the disregardful piece of legislation called NAFTA. The Wikipedia definition is right about it being pursued by corporate interests, but it wasn't about free trade, it was about cheap Mexican labor. In other words, corporate greed. Ross Perot had it right when he talked about a giant sucking sound being jobs being flushed to Mexico. "

cd wrote on Feb 22, 2008 11:08 AM:

" Here's the problems with residential wind generators:

"Just because this is fit for residential installations, though, doesn't mean that just anybody can pick one up -- Southwest recommends that you own an acre of land in an area that averages 10MPH wind speeds, and of course, that not-unobtrusive tower needs to comply with local zoning laws -- so the millions of us living in dense urban settings or gated communities will have to continue paying through the nose and destroying the environment in order to power our many gadgets." "

attainedage wrote on Feb 22, 2008 12:44 PM:

" Hey, here's an idea! How about AmerenCIPS, who claims they do NOT produce electricity and that they are at the mercy of the open market, how about AmerenCIPS joining in with the FutureGen Alliance? Then they'd be in the energy PRODUCTION business. They'd no longer be at the mercy of that dreaded open market (Ha, which for them, by the way, means having to buy their electricity from another Ameren-owned entity). They could take some of the 2007 rate increase we gave them, invest it in FutureGen, and tell the feds to take a hike. "

zelda wrote on Feb 25, 2008 3:41 PM:

" In our best intrest!! Right. That everyone gets behind in their bills and noone can pay and then they don't get any money...sounds like a plan... How will that work for them>??? "

Just a Soldier wrote on Feb 29, 2008 9:21 PM:

" Does anyone ever wonder what would happen if literally everyone just stopped paying their bills? I mean everybody. Wouldn't that force Ameren to back off? There is no way they would want the negative publicity of an entire community stiffing them over their price gouging. I doubt it would be profitable for them to try to recover the money from all of us, and the couldn't just ignore it because their income would stop completely. I know it is impractical, but it is a really fun scenario to think about. "

 


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