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Illinois Big 6 Utilities Continue Strong Spending with Diverse Suppliers, Opportunities for Improvement Seen

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Published on February 07, 2024
Illinois Big 6 Utilities Continue Strong Spending with Diverse Suppliers, Opportunities for Improvement SeenSource: Illinois Commerce Commission

The numbers are in, and it's more of the same. According to the Illinois Commerce Commission's Office of Diversity and Community Affairs (ODCA), the 2023 Annual Report shows a consistent pattern in spending with diverse suppliers by the biggest utilities in the state. Ameren Illinois, Aqua Illinois, Commonwealth Edison (ComEd), Illinois American Water, Nicor Gas, and Peoples Gas/North Shore, collectively dubbed the 'Big 6', kept their wallets open to the tune of over $2 billion for the third consecutive year. Some of these energy giants even managed to circulate nearly half of their total spending through various minority, women, veteran, and small business enterprises.

Despite the big bucks flowing, ICC Chairman Doug Scott says not to break out the champagne just yet. "Illinois has seen a positive shift in the amount of money its electric utilities are spending with diverse suppliers, but we know there are still plenty of opportunities for improvement," Scott admitted, revealing that there's a drive to pump more into areas starved of diverse spending, according to a press release on the ICC website.

The ODCA's report doesn't just crunch numbers—it tells a tale of eight years of effort since Illinois required these utilities to disclose their supplier diversity data. Starting from an average of 15 percent, some players have now climbed to a near 45 percent share in diverse procurement. Besides patting themselves on the back, the Big 6 now have to hash out short-term plans and include them in their annual reports to the Commission, as per the new mandate since last year.

"The ICC is pleased with the steady growth of diverse spending in Illinois over the past eight years, although our work is far from over," Jeanine V. Robinson, the Director of Diversity and Community Affairs, said in a hopeful tone. Going the extra mile, she highlighted that mobilizing utilities, energy suppliers, not-for-profits, diverse suppliers, and state agencies is crucial for breaking through barriers and beefing up successes. This was echoed in the report, which underlines Illinois' first-to-market approach in mandating transparency in supplier diversity from wind and solar energy suppliers since 2017.

For those on the outside looking in and eager to hitch their wagon to the next big energy initiative, the Office of Minority Economic Empowerment (OMEE) is sending up a flare. Through the Illinois Department of Commerce and Economic Opportunity, OMEE is setting the table for minority-, women-, people with disabilities, and veteran-owned small businesses to belly up to a full spread of equitable opportunities and resources. They're also pointing to the Climate and Equitable Jobs Act (CEJA) Implementation program as fertile ground for up-and-coming energy programs.

While diversity spending with minority, women, and veteran businesses among the Big 6 ranges from 13 to 30 percent, it's not all spread out evenly across the Land of Lincoln. But in a show of home state loyalty, nearly 60 percent of their combined diverse spending is going right back into Illinois businesses' pockets. Detailed findings and the full report are up for grabs on the ICC website for all those numbers junkies out there.