(WSIL) -- Don Rhine was shocked when he opened the Ameren letter to check July's bill for the West Frankfort Aquatic & Activities Center.
Rhine, the center's director, says he was ready for rate increases as high as $1000. Instead, the center saw a $10,000 bill for July, $5,000 higher than last month. Rhine worries the building could close by the end of the year.
"We can't function like that. We cannot operate with bills being that excessive," Rhine said. "It's excessive."
But Jordan Haarmann, director of procurement and business development for Affordable Gas & Electric (AGE) in Mt. Vernon, says it's going to be part of a new normal in Illinois.
Haarmann says energy prices are up 200% since last year and more hikes are coming, including one on October 1.
"We anticipate that increase to be $0.0135 per kilowatt hour," Haarmann said.
AGE doesn't control prices, Haarmann says, and neither does Ameren Illinois. It's communications director Tucker Kennedy says there are a number of factors leading to price increases.
One of the biggest, Kennedy says, are the closure of fossil fuel plants that are happening faster than the construction of renewable energy facilities. Kennedy says it's led to a short supply by a surge in price.
"The same is true whether it's being received by that state agency that purchases for our customers or through our retail supplier," Kennedy said. "The commodity is the commodity. The price of electricity is what it is."
Both men say customers should expect rate increases the next few years until there's a stable enough supply of energy. Kennedy says weather also plays a factor, especially with the recent heat wave the region is getting.
"We're seeing temperatures continue to rise. We got forecast for higher heat days. All of that factors into higher energy usage and what that final bill looks like," Kennedy said.
"This is a systemic challenge that we're seeing in our energy markets."
Both men advises customers to conserve energy whenever they can. They also encourage businesses to take advantage of the incentives Illinois offers for businesses that utilize renewable energy.