Electric Rates
What Makes Up Your Electric Bill
Monthly Charges
Residential Electric Utility customers pay a monthly customer charge and a monthly energy usage charge per kilowatt hour (kWh). The monthly customer charge provides a stable revenue source to cover the utility's fixed costs, while energy charges are based on customers’ electricity use. Certain commercial customers also see a monthly demand charge on their bills.
2025 Rates
The Electric Utility's last rate study was conducted in 2021 to address its financial needs through the end of 2024. Utility Financial Solutions, a third-party consultant, performed a new rate study in the summer of 2024 to determine the appropriate rates to charge starting in 2025 to support Electric's service and improvement plans through 2027.
Current trends impact how rates are determined for the future. Since 2021, the utility has experienced lower-than-expected energy sales as more customers use energy-efficient items in their homes and businesses and install solar panels. Regardless of how much or little electricity is used, the demands on Naperville's electric system and equipment remain constant. Reliable service depends on having the appropriate finances to maintain the system, repair or replace equipment, and invest in emerging technologies.
The utility industry has also been impacted by the lingering effects of the 2020 pandemic. Long lead times of up to three years (instead of weeks) to order and receive transformers, cables, and switches now require the utility to keep more of these items on hand at higher costs to be available when needed.
Finally, cables and equipment installed during Naperville's high-growth decades of the 1980s and 1990s are beginning to reach the end of their usable life. More resources must be put towards replacing those items to reduce power outages. The utility must balance this maintenance with new projects, like burying the remaining overhead electric lines in the city underground.
Keeping these needs in mind, in January 2025, the average residential customer, defined as someone using 844kWh of electricity monthly, will see an approximately $8 increase in their monthly bill. The average monthly bill will now be $115.83, which is still 20% lower than surrounding communities. Naperville will continue to maintain rates lower than ComEd for the foreseeable future, with an average $129.68 monthly bill in 2027, which is lower than the average ComEd bill today.
Below is a table outlining current charges to the most common customer classes. Commercial customers are encouraged to utilize the averages provided to help calculate their bills, as bills can vary widely from one business to the next. Customers wanting more information specific to their business or organization are encouraged to contact Customer Connections Manager Maher Diab at (630) 420-4184.
| Customer Class | 2025 Rates | |||
|---|---|---|---|---|
| Monthly Customer Charge | Energy Charge (kWh) | Demand Charge (kWd) | Average Monthly Electric Bill | |
|
Residential |
$19.26 | $0.11433 | N/A | $115.75 |
| Small Commercial (GS1) Average kWh = 1,865 |
$37.71 | $0.11475 | N/A | $251.72 |
|
Large Commercial (GS2) |
$110.00 | $0.05125 | $22.00 | $2,438.13 |
|
Very Large Commercial (GS2) |
$110.00 | $0.05125 | $22.00 | $7,622.50 |
|
Extra Large Commercial (GS2) |
$110.00 | $0.05125 | $22.00 | $27,885.00 |
Purchased Power Adjustment
The Purchased Power Adjustment (PPA) is a monthly adjustment on your electric bill based on actual power costs. The PPA changes monthly and is based on a six-month rolling average. During each utility rate study, the PPA baseline is adjusted to account for projected electricity costs so that the PPA is ultimately revenue neutral to the utility.
Please look at the graphic below to learn more about what a PPA means for your monthly electric bills.
(View a text-only version of this graphic.)
