Illinois bill to push renewable energy dies after businesses balk

June 2, 2025

A plan aimed at generating new power in Illinois died in the final days of the legislative session in Springfield after business groups argued that the proposal was too expensive and would be a burden to electricity customers.

Lawmakers spent months crafting legislation that they hoped would spur development of new wind and solar power as well as large batteries to store the energy. The state is facing a potential shortage of power in the future as big data centers being built are expected to use enormous amounts of electricity.

ComEd customers are paying higher rates because of power demand nationwide. The average customer with a $100 electric bill is going to see a jump of almost 11% when July bills arrive.

A bill in Springfield sought to generate more power by encouraging development of new energy sources. But that bill didn’t move forward in the session that ended Saturday after business groups reacted, spurring criticism from environmental advocates.

“The Illinois Legislature had an opportunity to protect Illinois families from rising utility bills and strengthen our power grid with low-cost clean energy, but unfortunately, they opted instead for inaction,” the Illinois Clean Jobs Coalition said in a statement.

Once dominant coal-fired power plants are being retired because they’re not economical to run. They’re also being phased out under a law to fight climate change that passed in 2021.

Renewable energy, such as wind and solar, isn’t getting connected to a multistate electrical grid. That’s left a need for new energy as demand is rising.

“We’re at an existential point with power,” said Mark Denzler, chief executive of the Illinois Manufacturers Association.

The problem with the recent energy proposal, according to business groups, is that the battery storage plan alone would have an estimated cost of $7 billion, and that money would be paid by electricity customers, including big businesses.

Denzler’s organization, which includes the state’s largest manufacturing companies, opposed the recent plan in Springfield but notes the problem needs to be addressed. His members use about a third of the state’s power, he said.

“Our view on energy is we need generation, transmission and new technologies like battery storage that can be done in an affordable manner,” Denzler said.

Sen. Bill Cunningham, a Democrat who represents the Southwest Side and surrounding suburbs, said he hopes to try again to pass a bill when the Legislature meets for the fall veto session.

“We are very close to an agreement,” Cunningham said.

Phillip Golden, chairman of Illinois Industrial Energy Consumers, suggests the state look at how Texas is funding renewable energy and battery storage with a mix of financial tools that don’t require ratepayers to foot the bill. His organization represents 20 of the state’s biggest power users, he said.

Jim Watson, a former state lawmaker who heads the Illinois branch of the American Petroleum Institute, also cited Texas as a potential model for Illinois. While his members want relief from the rising electric bills, “I think the pause was reasonable,” he said, referring to the decision to not push the bill toward a vote.

In a statement, Illinois Chamber of Commerce Chief Executive Lou Sandoval, added, “At a time when Illinois faces rising demand and shrinking capacity, the legislation fails to address the growing cost pressures on businesses and consumers across the state.”

 

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