How to Lower Your Electric Bill in Illinois in 2026

If your Illinois electric bill feels too high in 2026, the first step to lower your electric bill in Illinois is finding the cause. The problem may be coming from one — or several — of these places:

• Higher electricity supply costs
• Increased household consumption
• An inefficient AC or heat pump
• Electric resistance heating
• Poor insulation or air sealing
• A bad electricity-supply contract
• A home that simply uses more energy than it should

That means the correct first move is not automatically solar.

It is also not automatically switching electricity suppliers.

Step 1: Compare kWh Before Comparing Dollars

Take your current electric bill and compare it with the same month last year.

Look first at kilowatt-hours used.

Last July: 900 kWh. This July: 1,250 kWh.

That is almost a 39% increase in electricity usage.

If your bill rose by roughly the same amount, the first place to look is inside the house.

If usage stayed about the same but the bill increased sharply, look at the rate.

Those are different problems.

Illinois Supply Prices Are High Enough to Matter

For summer 2026, approximate Price-to-Compare supply rates were 10.4¢/kWh for ComEd and 11.33¢/kWh for Ameren Illinois. The Price to Compare is the utility's default supply price.

Take a typical household using 833 kWh per month. Its summer supply cost was around $86.62 per month for ComEd and $94.35 per month for Ameren. That is before other utility charges.

That means generation supply is no longer a trivial part of the bill.

Step 2: Understand Your Supply Arrangement

Illinois has electricity choice.

Depending on where you live, your electricity supply may come from:

• ComEd default supply
• Ameren Illinois default supply
• An Alternative Retail Electric Supplier
• Municipal aggregation

The utility still handles delivery, metering, outages and the local grid.

But another company may provide the generation.

Before buying equipment, find out who is actually selling you the electricity.

Check Your Supplier Rate Against the Utility Price

Look at your bill for the supplier name and supply rate. Also check the contract end date, fixed or variable pricing, and monthly fees.

Then compare it with the current utility Price to Compare.

Say you pay 14¢/kWh for supply, but the utility default option is closer to 10–11¢. That may be a very obvious first way to save.

A Simple Example

Monthly usage: 1,000 kWh.

Supplier rate: 14¢/kWh. Alternative rate: 10.5¢/kWh.

Difference: 3.5¢/kWh.

Fix the inexpensive problem first.

Step 3: Do Not Assume Municipal Aggregation Is Automatically Cheapest

Many Illinois municipalities aggregate electricity supply for residents.

Aggregation can offer competitive rates, renewable-energy options and stable contracts.

But the aggregation price should still be compared periodically with utility default supply and other competitive offers.

A contract that was attractive when signed may not remain the best available option forever.

Step 4: HVAC Is Usually the Biggest Controllable Load

When kWh rises dramatically, heating and cooling should be one of the first places you look.

Illinois has both hot, humid summers and very cold winters.

That creates heavy year-round HVAC loads.

Warning signs include:

• AC running constantly
• Weak airflow
• Uneven rooms
• Poor humidity control
• Heat pump struggling in winter
• Auxiliary heat running excessively
• Large year-over-year kWh increase
• Equipment older than roughly 10–15 years

A bad HVAC system can waste far more money than a slightly unfavorable electricity rate.

Electric Resistance Heating Can Be Brutal

If your home uses electric baseboards, an electric furnace or resistance backup heat, winter consumption can become extremely high.

A heat pump can move heat rather than generating it directly from electric resistance.

Ameren Illinois currently says qualifying ENERGY STAR ductless heat pumps can use roughly 60% less energy than standard electric resistance heating.

That does not mean every household should electrify.

It means homes currently relying heavily on resistance heat deserve a closer look.

Step 5: Use Utility Efficiency Programs Before Paying Full Price

Both major Illinois utilities maintain significant efficiency programs.

Current ComEd residential offerings include Home Energy Savings, Home Heating & Cooling, Whole Home Electric, and residential appliance rebates and discounts.

ComEd's current summer tips also point homeowners to free Home Energy Assessments and energy-efficiency rebates. They also point to AC Cycling, Peak Time Savings and Hourly Pricing.

Ameren currently offers free Home Energy Assessments for qualifying households. It also offers insulation upgrades, heating equipment upgrades, ventilation upgrades, appliance discounts and HVAC incentives.

Before buying a major home-energy upgrade, check the utility first.

Step 6: Get the Home Assessed

ComEd promotes free home-energy assessments. They are designed to find energy waste and efficiency upgrades. They can also point you to free or discounted products and personal savings tips.

Ameren's qualifying Home Energy Assessment can find savings. For eligible households, it may also unlock insulation, heating equipment and ventilation at little or no cost.

Step 7: Fix Insulation and Air Leakage

A high-efficiency AC cannot overcome a house that leaks conditioned air.

Look at:

• Attic insulation
• Rim joists
• Exterior penetrations
• Weatherstripping
• Duct leakage
• Basement and crawl-space air leakage

ComEd specifically recommends caulking and weatherstripping as a way to reduce heating and cooling waste.

Ameren's current programs can also include insulation improvements for qualifying homes.

Efficiency lowers the bill regardless of what happens to electricity rates later.

Step 8: Check Current HVAC Incentives

Ameren Illinois currently offers several significant equipment incentives. Published examples include:

• Ducted air-source heat pump: up to approximately $900, depending on equipment and current eligibility
• Ductless mini-split heat pump: instant-discount examples include $630 for qualifying systems
• Heat-pump water heater: current published instant incentive of $1,150 for qualifying ENERGY STAR equipment
• Smart thermostat: current instant incentive of $115 for qualifying equipment

These programs can change, but they illustrate why equipment should be priced after incentives rather than before.

Step 9: Look at Water Heating Too

Heating water can be a major electrical load.

Ameren currently notes that ENERGY STAR heat-pump water heaters can use substantially less electricity than conventional electric models.

ComEd also describes water heating as one of the larger household energy uses. It offers tools to estimate heat-pump water heater savings. But it currently notes that standard home purchase incentives are not available to everyone through its program.

So if the house has an old electric resistance water heater, include it in the diagnosis.

Step 10: Consider Hourly Pricing Carefully

ComEd's Hourly Pricing program charges a supply price that changes hour by hour with the wholesale power market.

That can create very low-priced periods.

But it can also create very expensive hours.

Hourly Pricing Rewards Flexibility

Hourly Pricing may work well for households that can move large loads to low-cost hours. Examples include EV charging, the dishwasher, laundry and water heating.

It may be risky for a household that must run heavy AC, electric cooking or large electrical loads during high-price periods.

Do not enroll because somebody says “electricity is cheaper at night.”

Model the home first.

Price Volatility Is Real

Another July 2026 example shows ComEd real-time pricing reaching 71.9¢/kWh during the hour ending 7 p.m. on July 15.

On other days, evening prices remained under 10¢/kWh.

That is exactly why flexible-rate plans require behavior and monitoring.

Step 11: Use Peak Time Savings

ComEd also points Hourly Pricing customers toward Peak Time Savings. It lets eligible customers earn bill credits for choosing to use less power during set high-demand periods.

You do not necessarily need to install anything new.

Sometimes it just means nudging the thermostat up a bit during a short high-demand event. You might also delay laundry or EV charging, or skip the dryer.

Step 12: Consider Solar — but Understand the 2025 Rule Change

Illinois made a major solar transition on January 1, 2025.

Older qualifying systems can retain legacy full-retail net-metering treatment.

New systems generally receive supply-side net-metering value rather than the old full-retail structure.

So a new solar project depends more on self-consumption (using your own solar power) than an older Illinois system did. System size, project cost and incentives matter more too.

Illinois Replaced Some Lost Net-Metering Value With Utility Rebates

Both ComEd and Ameren Illinois now have qualifying Distributed Generation rebates.

For eligible residential solar, $300/kW can be available through the utility smart-inverter rebate structure.

Qualifying batteries can also receive approximately $300/kWh under current utility programs.

That can materially change project economics.

Illinois Shines Is Another Major Value Stream

Illinois Shines provides Renewable Energy Credit value for qualifying rooftop-solar projects.

For Program Year 2026–27, Illinois added a $20 per REC adder. It is for qualifying customer-owned Small DG projects that are not receiving the former federal residential clean-energy credit.

The state specifically created this adder to help address the loss of the former federal incentive.

Illinois Shines Payments Changed in 2026

Small DG projects approved under the 2026 REC contract now generally receive 50% of REC value at energization (when the system is turned on). The rest is spread evenly over the next six years.

That means a salesperson should not necessarily present the entire REC value as instant upfront cash.

The contract needs to explain who gets the REC payment and how much is passed to the homeowner. It should also say when it is passed through.

The Federal 30% Residential Solar Credit Is Gone

For new residential installations after December 31, 2025, the old Section 25D 30% residential credit is no longer available under current federal law.

That means any 2026 Illinois solar proposal that still assumes a 30% federal credit needs to be corrected.

Illinois Shines has changed partly because of that loss.

Why HVAC Before Solar Matters Even More Now

Suppose your house uses 15,000 kWh per year.

Solar is designed around that number.

But HVAC and insulation improvements reduce usage to 11,500 kWh per year.

Now you need fewer panels, less financing, lower total project cost and less exported electricity.

Because post-2025 Illinois solar no longer has the same broad retail-netting benefit as legacy systems, right-sizing matters more.

What About Batteries?

Illinois is becoming more battery-friendly.

A qualifying residential storage system may receive approximately $300/kWh through utility rebate structures.

A battery can help you use more of your own solar power and shift usage. It can also protect the house during outages and take part in future grid programs.

Illinois' Clean and Reliable Grid Affordability Act, which took effect June 1, 2026, also expands Illinois' focus on storage and distributed-energy integration.

But a rebate does not make every battery economically sensible.

A Battery Example

Suppose a qualifying 13.5-kWh battery receives $300/kWh.

Potential utility rebate: 13.5 × $300 = $4,050, subject to current program requirements.

That is significant.

But you still need to compare remaining battery cost, savings, backup value and expected life before purchasing.

Solar Alone Usually Does Not Provide Backup Power

Standard grid-tied solar normally shuts down when utility power is lost.

Backup generally requires a battery, a backup-capable inverter and transfer or isolation equipment.

If outage resilience is your real goal, say that upfront.

It may change the equipment recommendation.

Step 13: Use Assistance Programs If the Problem Is Affordability

If you cannot pay the bill today, that requires a different set of tools.

Ameren Illinois currently points qualifying low- and moderate-income customers toward Energy Assistance Foundation support for bill-payment assistance.

Ameren also offers special no-cost efficiency programs for qualifying households. These can include air sealing, insulation, ventilation, moisture control and minor health-and-safety repairs.

Those programs can address both current affordability and future usage.

The Best Order to Lower Your Electric Bill in Illinois

For most homeowners:

1. Compare kWh. Determine whether consumption increased.
2. Check your supply contract. Compare supplier pricing with the utility Price to Compare.
3. Diagnose HVAC. Especially summer AC and winter electric heating.
4. Fix insulation and air leakage. Do not heat or cool the outdoors.
5. Use utility programs. Assessments, rebates and discounts can change the economics.
6. Evaluate pricing programs. Hourly Pricing can work for flexible households, but comes with real volatility.
7. Size solar around the efficient future home. Use post-2025 net-metering rules, not old assumptions.
8. Stack legitimate solar incentives. Utility DG rebate plus Illinois Shines where eligible.
9. Evaluate batteries independently. Savings, resilience or both.

Four Illinois Homes Can Have the Same $275 Bill and Need Completely Different Solutions

Home 1. Problem: an expensive alternative electricity supplier. First move: fix the supply contract.

Home 2. Problem: inefficient AC plus weak attic insulation. First move: HVAC and efficiency.

Home 3. Problem: efficient home, strong roof, high consumption. First move may be solar.

Home 4. Problem: existing solar, homeowner wants backup and higher self-consumption. First move may be a battery.

The Ashborn Approach

Before recommending equipment, Ashborn Partners looks at your ComEd or Ameren Illinois service, your electricity supplier and your past kWh use. We also look at HVAC, insulation, rate plan, roof, solar, battery and current incentives.