ComEd Files for $23 Million Decrease in Customer Electric Rates

Customer Reliability Improves by 50 Percent and the Average
Residential Bill Remains Stable

CHICAGO–(BUSINESS WIRE)–ComEd’s annual formula rate update request for distribution or
“delivery” of electricity calls for a decrease of $23 million compared
to the approved rates in effect in January of this year.

The filing made today with the Illinois Commerce Commission (ICC) marks
the eighth formula rate request since the Energy Infrastructure
Modernization Act (EIMA) or “Smart Grid Law” was enacted by the Illinois
General Assembly in 2011. It authorized investments of $2.6 billion to
upgrade and modernize Illinois energy infrastructure, improve system
reliability and empower customers to control energy consumption and
costs.

Since 2012, ComEd customers have experienced a significant improvement
in electric reliability as the frequency and duration of outages has
been reduced by nearly 50 percent. From 2012 through 2017, there were
more than 7.7 million avoided customer interruptions, including 1.5
million in 2017 due to investments in digital “smart switches” that
automatically reroute power around potential problem areas. These
avoided outages have resulted in $1.5 billion in societal savings.

While the smart grid investments and other major initiatives have
created a total supply chain spend of almost $12 billion since 2011, and
significantly improved performance, total ComEd customer bills remain
stable. Ten years ago, as new rates took effect in September of 2008,
the average residential customer bill was approximately $85; in January
of this year it was approximately $86. Today’s filing would decrease the
average residential electricity delivery bill by about $0.50, effective
in January of next year. ComEd’s per kWh residential rates trend below
the average price across the entire U.S., including nearly 14 percent
below the top 20 U.S. cities and 19 percent below the top 10 U.S. cities
by population as of June 2017.

“Today, we’re filing for a rate decrease – the third since the Smart
Grid Law was passed in 2011,” said Anne Pramaggiore, president and CEO,
ComEd. “This historic legislation, passed by the Illinois General
Assembly, and overseen by the ICC, has been a success since its passage.

“Reliability has improved by nearly 50 percent and more than 4,000
full-time equivalent jobs were created,” she continued. “We’ve pumped
nearly $12 billion of supply chain spend into the Illinois economy since
2012 and the average ComEd bill today is roughly equivalent to what it
was 10 years ago.”

ComEd’s distribution rate request for 2019 covers actual costs for 2017
when the company completed major grid modernization upgrades focused on
reliability improvement. It also includes investments for the current
year. The installation of a total of 4 million smart meters is scheduled
for completion in October, three years ahead of the original schedule.
Also reflected in the filing are expansions for new customer data and
distribution centers, continued system reliability programs and new
technologies, such as Voltage Optimization, which enables more precise
and efficient energy usage while improving power quality.

ComEd also submitted today its 2017 Performance Metrics report, a
requirement established by the Smart Grid Law that holds ComEd
accountable for meeting key outcomes, or face financial penalties for
failure to do so. The report shows ComEd met goals in 10 of 10
categories, including improving system reliability, reducing estimated
bills, reducing customer costs associated with unaccounted for energy
consumption and theft, and increasing support for minority- and
women-owned businesses. In 2017, ComEd’s diversity-certified supplier
spend reached $711 million, an increase from 33 to 36 percent of its
total supply chain spend.

From Smart Grid to Green Grid

ComEd is building upon the strength of its stronger, more reliable
digital grid to move Illinois toward a clean, lean and resilient energy
future, providing customers greater access to renewables and more energy
efficiency programs and control over their energy costs. The Future
Energy Jobs Act (FEJA) enacted in 2016 jumpstarts renewables in
Illinois, setting the stage to grow enough solar and wind energy to
power one million homes. It increases energy efficiency programs,
creating more than $7 billion in consumer savings and reducing the CO2
equivalent of removing 18 million cars from the road.

ComEd is proceeding with the construction of a microgrid demonstration
project in the South Side neighborhood of Bronzeville. The project,
which was approved in February by the ICC, has received more than $5
million in grant funding from the U.S. Department of Energy (DOE). It
will enable the study of how microgrids support the integration of clean
energy onto the grid and increase grid security to keep power flowing
even during extreme weather or a catastrophic event. As the electric
grid becomes increasingly digital and the demand for renewable power,
security and reliability grows, microgrids are expected to serve as a
core piece of the electric system’s infrastructure.

Commonwealth Edison Company (ComEd) is a unit of Chicago-based Exelon
Corporation (NYSE: EXC), the nation’s leading competitive energy
provider, with approximately 10 million customers. ComEd provides
service to approximately four million customers across northern
Illinois, or 70 percent of the state’s population. For more
information visit ComEd.com,
and connect with the company on Facebook,
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and YouTube.

Contacts

ComEd Media Relations
312-394-3500