ComEd Commercial Energy Guide | Business Electricity Switching

Updated: 9/4/2025

ComEd Commercial Energy Guide

Commonwealth Edison (ComEd) serves the northern third of Illinois, including Chicago and surrounding suburbs. As Illinois's largest utility, ComEd delivers electricity to over 4 million customers across 11,400 square miles. Understanding ComEd's rate structure and switching process is crucial for businesses looking to optimize their energy costs.

ComEd Service Territory and Business Customer Base

ComEd serves the economic heart of Illinois, including:

  • Chicago metropolitan area - Downtown Loop, manufacturing corridors, major airports
  • Suburban office parks - Schaumburg, Naperville, Arlington Heights business districts
  • Industrial zones - Heavy manufacturing along I-55 and I-80 corridors
  • Distribution centers - Major logistics hubs serving the Midwest

The territory includes approximately 400,000 commercial and industrial accounts ranging from small retail shops to large manufacturing facilities consuming hundreds of megawatts.

ComEd Rate Schedules and Tariff Structure

Commercial Rate Classes

Rate Schedule 8 - Small General Service (0-100 kW)

  • Single energy charge with basic delivery fees
  • Limited demand charges
  • Eligible for competitive supply in many cases

Rate Schedule 10 - General Service (100-400 kW)

  • Demand charges based on monthly peak usage
  • Time-of-use energy pricing during summer months
  • Most common rate for mid-sized businesses

Rate Schedule 11 - Large General Service (400-1000 kW)

  • Higher demand charge structure
  • More sophisticated time-of-use pricing
  • Capacity tag requirements for PJM charges

Rate Schedule 14/15 - Extra Large General Service (1+ MW)

  • Complex demand charge structures
  • Real-time hourly pricing available
  • Significant capacity cost exposure

Key ComEd Charge Components

Energy Charges

  • Default: Hourly pricing that changes daily
  • Competitive: Fixed or index-based from suppliers

Delivery Charges

  • Distribution costs for poles, wires, transformers
  • Fixed monthly customer charge
  • kWh-based distribution charge

Demand Charges

  • Based on highest 15-minute usage interval
  • Varies by rate schedule ($8-15 per kW typical)
  • Critical for load management strategies

Capacity Charges (PLC)

  • Performance Load Contribution based on summer peak usage
  • Determined annually, billed monthly
  • Can be $50-100+ per kW of capacity tag

Understanding ComEd Demand and Capacity

Demand Management Strategies

ComEd's demand charge structure makes load management critical:

Peak Shaving

  • Monitor real-time usage during high-demand periods
  • Temporarily reduce non-essential loads
  • Coordinate equipment startup to avoid simultaneous peaks

Load Shifting

  • Move energy-intensive processes to off-peak hours
  • Take advantage of lower time-of-use energy rates
  • Reduce strain on electrical systems during peak periods

Power Factor Management

  • Maintain power factor above 0.85 to avoid penalties
  • Install capacitors or other power factor correction
  • Monitor reactive power usage patterns

Capacity Tag (PLC) Optimization

Your Performance Load Contribution is set based on usage during PJM's peak hours (typically hot summer afternoons). Key strategies include:

Critical Hours Management

  • Monitor PJM capacity alerts during June-August
  • Reduce load during forecasted system peaks
  • Coordinate with other facilities for load curtailment

Historical Analysis

  • Review previous year's capacity contributing hours
  • Identify patterns in system peak occurrences
  • Plan maintenance and operations around peak risk periods

ComEd Supplier Switching Process

Eligibility and Requirements

Most ComEd commercial customers can choose their electricity supplier:

Eligible Accounts

  • Rate Schedules 8, 10, 11, 14, 15 and others
  • Accounts with separate metering
  • Customers not in municipal aggregation programs (unless opt-out available)

Required Information

  • ComEd account number (11 digits)
  • Service address
  • Rate schedule
  • Historical usage data (12-24 months preferred)

Switching Timeline and Process

Week 1-2: Market Analysis

  • Request for Proposals (RFP) to multiple suppliers
  • Review contract terms, pricing, and risk allocation
  • Verify supplier licensing and financial stability

Week 3-4: Contract Execution

  • Execute Letter of Authorization (LOA) with chosen supplier
  • Submit enrollment to ComEd
  • Receive confirmation of switch date

Week 5-8: Transition Period

  • ComEd validates customer information
  • Next available meter read date becomes start date
  • First bill shows pro-rated charges from both suppliers

What Doesn't Change When You Switch

ComEd Responsibilities Continue:

  • Electricity delivery through existing infrastructure
  • Emergency response and outage restoration
  • Meter reading and billing (consolidated bill)
  • Customer service for delivery-related issues
  • Line maintenance and system upgrades

Bill Format

  • Single monthly bill from ComEd
  • Clearly separated supply and delivery charges
  • Same payment methods and due dates

ComEd Market Dynamics and Pricing Factors

Regional Market Influences

PJM Energy Market

  • ComEd operates within the PJM regional transmission organization
  • Day-ahead and real-time energy markets set wholesale prices
  • Transmission congestion affects pricing between zones

Natural Gas Correlation

  • Gas-fired generation sets marginal prices most hours
  • Henry Hub and regional basis drive electricity prices
  • Weather impacts both gas supply and electric demand

Renewable Energy Impact

  • Illinois Future Energy Jobs Act requires renewable portfolio
  • Solar and wind affect peak pricing patterns
  • Battery storage beginning to provide grid services

Seasonal Pricing Patterns

Summer Peak Season (June-September)

  • Highest energy and capacity costs
  • Time-of-use rates in effect for many rate classes
  • Air conditioning load drives system peaks

Winter Heating Season (December-February)

  • Moderate energy costs
  • Natural gas price volatility affects electricity
  • Lower capacity costs outside summer months

Shoulder Months (Spring/Fall)

  • Generally lowest energy costs
  • Mild weather reduces system stress
  • Maintenance outages can cause price spikes

Contract Structures and Risk Management

Fixed Price Contracts

Benefits:

  • Budget certainty for energy supply costs
  • Protection from market volatility
  • Simplified financial planning

Considerations:

  • May miss savings opportunities in down markets
  • Typically priced above current market levels
  • Early termination provisions if needs change

Index-Based Pricing

Real-Time Index

  • Prices follow day-ahead market clearing prices
  • Full exposure to market volatility
  • Requires active risk management

Monthly Index

  • Average monthly pricing with billing lag
  • Reduced daily volatility vs real-time
  • Some predictability for monthly budgeting

Block and Index Products

Layered Approach

  • Fixed price blocks for base load
  • Index pricing for variable usage
  • Balances price stability with market exposure

Seasonal Structuring

  • Different pricing for peak vs off-peak seasons
  • Matches pricing to load profile patterns
  • Customizable risk allocation

ComEd Integration with Energy Management

Advanced Metering Infrastructure (AMI)

Smart Meter Capabilities

  • Hourly usage data available online
  • Remote disconnect/reconnect capability
  • Real-time outage detection and restoration updates

Data Access and Analytics

  • Green Button data download standard
  • API access for energy management systems
  • Historical interval data for analysis

Distributed Energy Resources

Net Metering

  • Available for solar installations up to 2 MW
  • Excess generation credited at retail rate
  • Simplified interconnection process

Energy Storage Integration

  • Behind-the-meter battery systems supported
  • Demand charge reduction opportunities
  • Participation in wholesale market programs

Combined Heat and Power (CHP)

  • Interconnection standards for CHP systems
  • Standby rate schedules available
  • Environmental benefits and cost savings

Working with Energy Brokers on ComEd

Broker Value Proposition

Market Knowledge

  • Understanding of ComEd tariff nuances
  • Relationships with licensed suppliers
  • Experience with complex contract negotiations

Ongoing Account Management

  • Contract renewal timing and strategy
  • Budget forecasting and bill validation
  • Regulatory change impact assessment

JakenEnergy ComEd Expertise

Local Market Focus

  • Deep understanding of ComEd rate structures
  • Relationships with suppliers active in Illinois
  • Experience across all ComEd commercial rate classes

Customized Solutions

  • Analysis of demand patterns and capacity tags
  • Structured products for load profile optimization
  • Risk management strategies for volatile markets

Comprehensive Service

  • Initial market analysis and procurement
  • Ongoing contract management and optimization
  • Bill auditing and dispute resolution support

ComEd Regulatory Environment

Illinois Commerce Commission Oversight

Rate Case Proceedings

  • Delivery rate adjustments every few years
  • Cost recovery for infrastructure investments
  • Performance metrics and customer service standards

Supplier Certification

  • Licensed alternative retail electric suppliers (ARES)
  • Financial requirements and consumer protection rules
  • Marketing practice regulations and compliance

Federal Energy Regulatory Commission (FERC)

PJM Market Rules

  • Wholesale market design and operations
  • Transmission planning and cost allocation
  • Capacity market mechanisms and participation

Grid Modernization

  • Smart grid investment and cost recovery
  • Distributed energy resource integration
  • Cybersecurity and grid resilience requirements

Get Expert ComEd Energy Procurement Support

Frequently Asked Questions

How do ComEd commercial tariffs work?

ComEd uses time-of-use pricing with separate charges for supply, delivery, demand (kW), and capacity. Your total bill includes both ComEd delivery charges and your chosen supplier's energy charges.

What is the Performance Load Contribution (PLC) on ComEd?

PLC is your capacity tag based on your highest usage during peak hours in June-August. This determines your share of regional capacity costs and significantly impacts your bill.

Can I switch suppliers on ComEd without affecting my service?

Yes. ComEd continues to deliver electricity and handle outages regardless of your supplier choice. Only the supply portion of your bill changes when you switch.

How do ComEd demand charges work?

Demand charges are based on your highest 15-minute interval of electricity usage during the billing period, measured in kilowatts (kW). These charges can be 30-50% of your total bill.

What ComEd rate classes are eligible for supplier switching?

Commercial and industrial customers on ComEd Rate Schedules 8, 10, 11, 14, 15, and others above 100 kW are eligible. Small businesses under 100 kW may also be eligible.

How do pass-through charges work on ComEd?

Pass-through charges like transmission costs, capacity, and ancillary services are the same regardless of your supplier. Only the energy supply charge varies by supplier choice.

What's the difference between ComEd's default service and competitive supply?

Default service uses ComEd's hourly pricing that fluctuates daily. Competitive suppliers offer fixed, index, or structured products for price stability and risk management.

How often can I switch suppliers on ComEd?

You can switch suppliers when your contract expires or with proper notice. Switching typically takes 1-2 billing cycles to complete.