By now, everyone has heard of the benefits of switching from traditional electricity sources to solar power—with monthly savings on energy costs being the most advantageous by far. But how do solar panels reduce your electricity bill? Tick Tock Energy is here to fill you in.

Saving Money with Solar Panels

With the ever-rising rates of traditional power sources, monthly utility bills are skyrocketing year over year for homeowners, farmers, and businesses alike. You can produce your own power by having solar panels installed on your property. This allows you to purchase less from the utility company or, depending on your property and solar system, power your buildings without needing any power from your electric provider.

Did Ameren Illinois Raise Their Rates?

Yes, in June of 2022, Ameren Illinois raised its rates due to electric rate results from the regional grid operator (MISO). The increase jumped from $5/megawatt to $236/megawatt, which caused significantly higher utility bills for consumers.

Recall that Ameren customers have the ability to choose a 3rd-party power supplier or default and let Ameren purchase power on their behalf.  Since Illinois deregulated the two large utilities, Ameren and Comed, in 1997, those two utilities mainly deliver power only.  For many Ameren customers, those that have had their power contracts come up for renewal over the last few months, or customers that have let Ameren procure their power, have seen big jumps in the electrical supply portion of their bill.

The market rate for electricity for Ameren customers is set by the Midcontinent Independent System Operator (MISO), which oversees the greater electrical grid in the middle portion of the United States (from Louisiana up to North Dakota and most of Illinois).  MISO has seen average power rates jump from the typical range of $5/Megawatt to $236/Megawatt.  These rates vary by time of day with supply and demand but have caused a significant increase in the supply portion of Ameren customers’ bills.  Also, note that Ameren did file a petition earlier this year to the Illinois Commerce Commission requesting a rate increase on the delivery portion of a bill.  See our recent blog post on this topic.

How Much Money Can You Save with Solar Panels?

The amount you can save depends on a few factors, including but not limited to:

  • Your typical electricity consumption
  • Solar panel system size
  • Your property’s direct sunlight hours

Our experienced team at Tick Tock can help you find the best solar panel system for your property. Likewise, we offer additional products and services such as power monitoring systems, backup generators, and solar batteries to maximize your ROI.

Learn More About How Solar Panels Can Save You Money

If you are interested in joining the millions of Americans who have seen the benefits that solar panels can have, contact Tick Tock Energy today. We have decades of experience installing solar energy solutions and pride ourselves on our excellent customer service and satisfaction.