Section 415.411  General Instruction 21

a)         In Paragraph A, the following sentences are added:

"Allowances allocated from any authoritative regulatory agency held for operational purposes shall be recorded in Account 158.1, Allowance Inventory, and shall not be recorded in or later transferred to Account 124, Other Investments."

b)         In Paragraph B, the following sentence is added:

"An emission allowance allocated from any authoritative agency held for speculative purposes initially recorded in Account 124, Other Investments, may not be later transferred to Account 158.1, Allowance Inventory."

c)         In Paragraph C, the following sentence is added:

"The cost of allowances shall include any direct cost of acquisition, such as broker fees or sales commissions, but shall not include indirect expenses such as legal fees to draw up the allowance purchase contract."

d)         Paragraph I is deleted and replaced by the following:

"I.  Gains on dispositions of allowances and environmental credits, other than those held for speculative purposes, shall be accounted for as follows.  First, if there is uncertainty as to the regulatory treatment, the gain shall be deferred in Account 254, Other Regulatory Liabilities, pending resolution of the uncertainty.  Second, if there is certainty as to the existence of a regulatory liability, the gain will be credited to Account 254, with subsequent recognition in Account 411.8, Gains from Disposition of Allowances, which, at the utility's option, can be recognized in equal amounts over a period not to exceed twelve months.  Third, all other gains will be credited to Account 411.8, Gains from Disposition of Allowances, or Account 411.11, Gains from Disposition of Environmental Credits.  Losses on disposition of allowances and environmental credits, other than those held for speculative purposes, shall be accounted for as follows. Losses that qualify as regulatory assets shall be charged directly to Account 182.3, Other Regulatory Assets.  All other losses shall be charged to Account 411.9, Losses from Disposition of Allowances, or Account 411.12, Losses from Disposition of Environmental Credits, which, at the utility's option, can be recognized in equal amounts over a period not to exceed twelve months.  (See Definition No. 31.) Gains or losses on disposition of allowances and environmental credits held for speculative purposes shall be recognized in Account 421, Miscellaneous Nonoperating Income, or Account 426.5, Other Deductions, as appropriate."

(Source:  Amended at 50 Ill. Reg. 9821, effective July 6, 2026)