Illinois Electric Bills Are Going Up After Another PJM Auction, But Help Is on the Way

In December 2025, PJM Interconnection, the multistate regional transmission organization that controls the price of electricity in northern Illinois, announced the results of its 2027 – 2028 capacity auction. The capacity auctions are held every year and set the price of wholesale electricity for an upcoming timeframe.

PJM electricity capacity prices have increased three years in a row.

For the June 2027 through May 2028 Delivery Year, wholesale electricity will cost $333.44/MW-day – a 1.3% price increase over the 2026 - 2027 Delivery Year, and a 23.5% increase over 2025 - 2026 prices.

Wholesale electricity supply costs are passed directly on to customers, meaning those in PJM's Illinois territory

should expect further price increases over the already-high rates. Households struggling to afford higher bills may be eligible for assistance; learn more here.

The most recent results, while unfortunate, were predictable. The trend of increasing electricity prices has been well established, and prices have now risen three years in a row. The reason why remains the same: There is not enough energy supply to meet the historic levels of demand driven by data centers, transportation, and manufacturing.

In fact, the Illinois Power Agency released a resource adequacy study in December 2025 that projects that Illinois could face an energy deficit as early as 2029, detailing why energy prices are increasing. If Illinois does nothing and does not build more energy supply, then resource adequacy issues will remain and electricity prices will only get worse.

PJM's territory covers most of northern Illinois. (Map via Federal Energy Regulatory Commission)

Thankfully, Illinois has already acted. Governor Pritzker signed the Clean and Reliable Grid Affordability (CRGA) Act on Jan. 8, 2026, in a concerted effort to address the forthcoming energy capacity deficit and resource adequacy issue.

While more will need to be done to ensure Illinois builds and connects enough new energy generation to avoid a resource adequacy issue and lower energy prices, we applaud the Illinois General Assembly for recognizing the threat of rising electricity prices and responding accordingly. Many states across the country are facing this same resource adequacy and energy affordability challenge, but Illinois is the only state to take a step forward to pass legislation that helps address these critical challenges.