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Nicor Gas Aims To Jack Up Suburban Bills With $221 Million Hike

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Published on January 10, 2026
Nicor Gas Aims To Jack Up Suburban Bills With $221 Million HikeSource: Unsplash/Sigmund

Nicor Gas is asking state regulators for permission to pull in about $221 million more a year, a move the utility says is needed to keep its sprawling suburban system in working order. If the Illinois Commerce Commission signs off, Nicor estimates typical residential customers would see the delivery portion of their monthly bill go up by roughly $5–$6. The company supplies natural gas to about 2.3 million customers across northern Illinois and the Chicago suburbs.

According to the Chicago Tribune, Nicor’s Jan. 9 filing asks the commission to let the company recover costs to repair more than 400 miles of transmission pipeline and replace roughly 45 miles of distribution pipe. The company projects the higher rates would kick in sometime in 2027 if regulators approve the request.

Where regulators stood last year

The Illinois Commerce Commission was far from a pushover in Nicor’s last big request. In November, regulators slashed a previous proposal, ultimately approving about $167.8 million and blocking roughly $120 million in capital investments, a decision Nicor itself noted in its rate documents. The company again cites serving about 2.3 million customers across northern Illinois and the Chicago suburbs in those filings.

Per Nicor Gas, the commission’s prior order carved out certain vintage pipeline replacement projects from near-term cost recovery, and Nicor says it is still working through what that means for its finances. Ongoing CUB pushback on Nicor has also been a regular feature of the case file and public hearings.

Other Illinois utilities are also asking

Nicor is not the only gas utility looking for more from customers. Peoples Gas filed its own rate case on Jan. 6, seeking about $202.3 million to speed up pipeline replacement work. If the Illinois Commerce Commission signs off, the company says a typical Chicago household would see its monthly delivery charge rise about $10–$11, according to NPR Illinois.

North Shore Gas, a sister company to Peoples Gas, has asked for roughly $14.4 million, a figure detailed in the parent company’s regulatory paperwork. As outlined in WEC Energy’s 8‑K, the utilities laid out projected impacts on customer bills and proposed schedules that would put new rates into effect in 2027.

What consumer groups say

Consumer advocates see Nicor’s latest move as part of a steady drumbeat of gas rate hikes that weigh on household budgets. Pointing to the series of recent increases, Citizens Utility Board Executive Director Sarah Moskowitz told Capitol News Illinois that another sizable rate approval for Nicor would push total green-lit hikes for the utility to well over $1 billion in less than a decade.

What comes next

The Illinois Commerce Commission typically takes up to 11 months to rule on general base-rate cases. That process includes formal interventions, expert testimony and public hearings, and has often resulted in regulators trimming back what utilities initially request.

As WTTW reported after last year’s decisions, the ICC has not hesitated to strike specific projects or expenses when it decides the evidence does not justify charging customers for them.

Help for customers

Nicor notes that customers who are struggling to keep up have options for help, including the Nicor Sharing Program and various payment plans, with details posted on its customer pages. See Nicor's Sharing Program for information on eligibility and how to apply.