Michigan energy laws secure affordable rates and adaptable, reliable system after one year

The Michigan Public Service Commission (MPSC) released its own assessment this week of energy laws Michigan brought into force last year, concluding that the move has meant positive development for Michigan’s consumers and the grid.

“These comprehensive energy laws are improving how we regulate utilities in Michigan and how utilities meet their customers’ needs with safe, reliable service,” Sally Talberg, chairman of the MPSC, said. “We’re proud to have had so much interest by the public and other stakeholders to work with our dedicated staff in implementing these laws.”

The MPSC said that these laws have already led to quickened utility rate case reviews, shaving several months off the review time. Other benefits include increased renewable resource dependency, with an additional 15 percent of power expected to be produced from these resources by 2021. Energy waste reduction has increased, the ability to choose alternative energy providers has been preserved and customers that produce their own energy have had their bill structures revamped as part of the distributed generation program. Further, foundations are in place for on-bill financing of home energy waste reduction projects and code-of-conduct rules for utility services have been updated.

Integrated resource planning parameters have also been adopted, leading utilities to file holistic plans with the MPSC that will allow the commission to evaluate ways of proceeding with technology, customer preferences, and market conditions considered. Under this adopted path, utilities demonstrate their electric generation resource mix they intend to use to meet customer demand for the next 10 to 20 years.

Though implementation is ongoing, Talberg says the MPSC has thus far issued more than 70 orders covering 18 legislative tasks related to the laws. The laws in question were passed in 2016 and first took effect the following year.