Energy Efficiency and Demand Response Fund (Illinois)

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Last modified on February 12, 2015.

Rules Regulations Policies Program

Place Illinois

Name Energy Efficiency and Demand Response Fund
Incentive Type Public Benefits Fund
Applicable Sector Commercial, Industrial, Residential, Nonprofit, Schools, Local Government, Utility, Institutional
Eligible Technologies Custom/Others pending approval, Unspecified technologies
Active Incentive No

Implementing Sector State/Territory
Energy Category Energy Efficiency Incentive Programs

Charge Varies, limited to greater of 0.5% customer cost/kWh from previous year or 0.5%-2.015% of 2007 sales. Levels frozen in 2012 and thereafter.

Total Fund 335.3 million (FY 2009-2011)
Types Energy efficiency, demand response

Date added to DSIRE 2008-02-08
Last DSIRE Review 2008-02-08

References DSIRE[1]


Beginning in June 2008, Illinois's two electric utilities with more than 100,000 retail customers (Ameren and Commonwealth Edison) are required to implement energy efficiency and demand response programs that cost effectively reduce their delivery load. Much like the state renewable portfolio standard (RPS), the goals of the progam will increase incrementally each year. Energy efficiency and demand response are treated as separate within the overall program. Energy efficiency refers to reductions in gross energy use (i.e., Megawatt-hours per year), while demand response refers to reductions in peak demand. Demand response measures do not necessarily result in overall energy use reductions. The annual incremental energy savings goals are as follows: 0.2% year commencing June 2008 0.4% year commencing June 2009 0.6% year commencing June 2010 0.8% year commencing June 2011 1.0% year commcening June 2012 1.4% year commencing June 2013 1.8% year commencing June 2014 2.0% year commencing June 2015

The utilities will be permitted to recover all prudently incurred expenses for the measures adopted under the program.

 Program costs will be subject to certain annual limits (as covered below) although the utilities will be allowed compensation in the event that actual costs exceed the predetermined annual limits.  All of the demand response programs will be administered by the utilities while 25% of the energy efficiency programs will be implemented by the Illinois Department of Commerce and Economic Opportunity (DCEO).

Authorities (Please contact the if there are any file problems.)

Authority 1: Public Act 095-0481
Date Effective 2007-08-28
Date Enacted 2007-08-28

  • Incentive and policy data are reviewed and approved by the N.C. Solar Center's DSIRE project staff.[1]


  1. 1.0 1.1  "Database of State Incentives for Renewables and Efficiency (DSIRE)"