Energy waste reduction programs in Michigan save energy and reduce costs, report finds
Energy waste reduction programs in Michigan have saved nearly 1.6 million megawatt hours of electricity and about 5.5 billion cubic feet of natural gas, according to the Michigan Public Service Commission.
The commission’s annual report found that 64 electric companies spent a total of $220 million on energy waste reduction programs while gas utilities spent about $88 million. The combined $308 million spent is anticipated to save customers nearly $1.1 billion over the 12-year lifecycle of energy waste reduction (EWR) efforts that were adopted in 2017.
Michigan’s EWR standard, created in 2008, requires all natural gas and electric utility providers in the state to implement customer programs to lower energy usage to reduce the future cost of service.
The commission found that customers should see an estimated savings of $3.51 for every dollar spent on these programs.
Further, the report revealed that energy waste reduction programs cost utilities an average of $16.23 per megawatt hour, compared to $55 per megawatt hour for building new generation facilities. Utilities in Michigan spent about $26 million on energy waste reduction programs for qualified low-income residential customers.
To help
