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Utility Watchdogs and Advocacy Groups File Testimony Calling for Massive Rate Cuts to Peoples Gas Rate Request

Category: Illinois
Related Categories: Gas, Peoples Natural Gas, Rate Case, Utility

Expert testimony filed on May 5, 2026 from the utility watchdogs and consumer advocates proposed major spending cuts, including the full $38.8 million linked to Peoples Gas pipe modernization project.

A key driver of People’s Gas requested spending is due to the utility’s pipe retirement program, which seeks to retire over 1,000 miles of old iron pipes from Chicago’s heating system by 2035, as mandated previously by the Illinois Commerce Commission (ICC).

In written testimony, PIRG witnesses called on the ICC to require Peoples Gas to implement a plan consistent with the ordered reforms, and to prohibit the company from charging customers for the work until such a plan was implemented.

“Instead of putting safety first, Peoples Gas is brazenly attempting to stick Chicago with a $15 billion tab for unnecessary, polluting fossil fuel infrastructure” said Illinois PIRG Director Abe Scarr. “Our expert testimony documents how cost-effective alternatives can deliver safer, cleaner energy for Chicago. The Commission should reject Peoples Gas’ proposal and enforce the reforms it ordered last year.”

Utility watchdogs filed testimony with the ICC to slash $137 million, or roughly two-thirds of the request.

“Chicago gas customers have for years borne the burden of the utility’s wasteful spending, serial rate hikes, and record profits,” Citizens Utility Board Executive Director Sarah Moskowitz said. “Our expert testimony shows that Peoples Gas is determined to continue this pattern unchecked, despite multiple ICC rulings ordering it to rein in reckless spending.”

The Attorney General went even further in filed testimony calling not only for the entire request to be rejected, but for the utility to return $4 million to customers.

Peoples Gas and other parties will have the opportunity to file rebuttal testimony that will be subject to the commission’s review.

The ICC is expected to rule on the case in November, giving commission members around six months to consider the dueling arguments made by the parties.