Nicor Gas files rate request for essential safety and reliability investments critical to natural gas service for millions of Illinois customers

• Investments to support continued modernization of the natural gas system customers count on to heat their homes and run their businesses, especially during extreme weather
• Access to natural gas is essential to supporting the health, safety and wellbeing of Illinois communities
• Nicor Gas’ proposed new distribution rates remain among the lowest of any major natural gas distribution company in the state

NAPERVILLE, Ill. – Jan. 9, 2026 –  Nicor Gas filed a request with the Illinois Commerce Commission (ICC) that would enable the company to continue making strategic investments that help enhance the safety, reliability and resilience of its natural gas system, especially during extreme weather, while also complying with state and federal safety standards.

These investments are part of Nicor Gas’ commitment to providing clean, safe, reliable and affordable natural gas service to 2.3 million homes and businesses it serves across Northern Illinois. The company plays a critical role in the state’s energy delivery through a connected underground network of more than 34,000 miles of pipeline and management of eight natural gas storage facilities. Access to natural gas is essential to support the health, safety and well-being of Illinois communities and remains the most cost-effective way for customers to heat their homes and run their businesses.

“Everything we do centers around our customers and communities,” said Wendell Dallas, president and CEO of Nicor Gas. “We understand that any increase can have an impact, and we don’t make this request lightly. Our engineers and experts draw on more than 160 years of knowledge and experience to help ensure that Illinois families and businesses have the safe, reliable natural gas service they can count on for comfort, warmth and peace of mind.”

Nicor Gas’ ability to safely and reliably serve customers is the result of ongoing strategic planning and necessary investments to help ensure homes, businesses and communities have safe and reliable energy when they need it most. Nicor Gas manages these costs through a transparent process with regular rate reviews and oversight from the ICC. The investments in this request include:

• Replacement of aging equipment and maintenance of storage facilities;
• Safety-related replacement of over 45 miles of distribution pipeline, as recommended by the U.S. Pipeline and Hazardous Materials Safety Administration;
• Relocation of natural gas facilities in coordination with state and local agencies to accommodate public infrastructure improvements;
• Inspection, assessment and repair of over 400 miles of transmission pipeline to help ensure the continued safe and reliable delivery of natural gas in compliance with federal regulations.

The ICC has 11 months to review this request for approximately $221 million and, if approved, a typical residential customer would see an increase of less than $6 per month in their energy delivery charge, or a 6.7% annual increase.  Even with the proposed new rates, Nicor Gas’ distribution rates remain among the lowest of any major natural gas distribution company in Illinois and significantly lower than other fuel alternatives.

At a time of unprecedented energy demand and increasing electricity costs in the state, natural gas remains a critical, essential and stable resource capable of maintaining reliability and moderating customer cost pressures while enabling economic growth. Approximately 90% of households in Nicor Gas’ service territory rely on natural gas for heat. On the coldest days of the year, the company delivers more than two times the energy that the Northern Illinois electric grid does on the hottest days of the year, and at one-quarter the cost.

Nicor Gas is committed to keeping energy costs as low as possible while supporting its customers with bill payment assistance options and ways to save energy and money.

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About Nicor Gas 
Nicor Gas is one of four natural gas distribution companies of Southern Company Gas, a wholly owned subsidiary of Southern Company (NYSE: SO), and serves 2.3 million customers in more than 650 communities across northern Illinois. Ranked as a Most Trusted Utility Brand by Escalent, Nicor Gas is fueling customer choice, innovation, economic growth and a sustainable energy future. Nicor Gas is working to keep bills as low as possible as we continue providing access to clean, safe and reliable natural gas. For more information, visit nicorgas.com. 

Media Contact: 
Jennifer Golz 
jgolz@southernco.com