Utility Rate Increases
U.S. Senator Dick Durbin (D–IL) claims that the “policies of the Trump administration” caused utility companies to request the “largest” rate “increase on record” in 2025.
IN FACT, S&P Global Market Intelligence published a detailed analysis of these requested rate increases, and none of them were caused by Trump’s policies. However, a major driver of them was the renewable energy policies supported by Durbin. Per the analysis:
- “The electric rate filings reflect the utilities’ significant capital expenditure plans for upgrading transmission and distribution (T&D) systems and installing new renewable generation and technologies to accommodate the clean energy transition, as well as fossil and nuclear generation, to support large loads.”
- “The rate requests reflect the move to shutter aging fossil fuel plants amid a nationwide push toward clean energy and protect customers against growing climate-related risks such as wildfires and damaging storms.”
- “Spending is driven by pent-up demand to replace and modernize aging infrastructure, as well as renewable portfolio standards of multiple states that call for large expansions in low-carbon energy generation capacity.”
Furthermore, those and other key drivers of utility rate increases have significant lag times that stretch well into the Biden administration.
