MPSC Spotlight - February 2022

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MPSC SPOTLIGHT

Intro  •  Welcome to the February 2022 MPSC Spotlight. We have lots of information to share, including the hiring of the MPSC’s first Equity and Inclusion Officer, the MPSC being selected by the U.S. Department of Energy for two technical assistance projects on matters critical to Michigan’s power grid, and other developments.

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MPSC to receive technical assistance from U.S. Department of Energy

LANSING • The MPSC received notice in January that it has been selected by the U.S. Department of Energy to receive expert technical assistance through the agency’s State Technical Assistance to Public Utility Commissions program, which is part of the Energy Department’s Grid Modernization Initiative, offered in conjunction with the Energy Department’s National Laboratories. The program’s goal is to provide in-depth technical assistance to state regulators addressing challenges facing the electricity industry.

At the MPSC, the assistance will focus on two initiatives:

  • The first initiative, led by Commissioner Tremaine Phillips, is considering approaches to developing publicly available mapping tools that can help identify system capacity restraints and locations where new sources of distributed energy generation and load can be integrated into the grid in a cost-effective way. Among other efforts, this will help inform the utilities’ electric distribution plans, highlight needs for interconnection rule updates, and aid in the completion of a grid integration study requested in Senate Resolution 143 of 2020.
  • The second initiative, led by Commissioner Katherine Peretick, will explore regulatory approaches to modeling and valuing grid-scale energy storage. This work will tie in with the MPSC’s MI Power Grid advanced planning workgroup and the Commission’s work to update integrated resource planning parameters and filing requirements in 2022.

 

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Commissioners, MPSC Staff tour Ludington Pumped Storage plant, Consumers Energy’s Hardy Dam in west Michigan

LUDINGTON • Commissioners Tremaine Phillips and Katherine Peretick and several MPSC staffers toured Consumers Energy’s Hardy Dam on the Muskegon River and the Ludington Pumped Storage Plant on Lake Michigan on Feb. 8.

The tour of the two hydropower facilities gave the Commission a chance to see up-close major power generation sites that have undergone or are due for major upgrades. The Ludington plant, jointly owned by Consumers Energy and DTE Energy, recently underwent a multiyear, $800 million renovation. Consumers, meanwhile, is preparing for a significant upgrade of the Hardy Dam spillway in the coming years. The Hardy Dam and two others on the Muskegon River — the Rogers Dam and the Croton Dam — together can generate 45,500 kilowatts of electricity, enough to power about 22,000 homes.

The 1875-megawatt Ludington plant is Michigan’s largest energy storage facility, providing important balancing functions for the region’s grid. It works by pumping billions of gallons of water from Lake Michigan to a reservoir high above the lake shore, generally during night and weekend times of lower electricity demand. Then, during peak energy use periods, that water is dropped from the reservoir through pump-turbines back into the lake, generating enough electricity to power a community of 1.4 million people.

 

Decisions released attheMPSC’s Jan. 20 meeting   

LANSING • Here’s information on some of the other orders the Commission approved at the Jan. 20 Commission meeting:

  • The MPSC approved three Consumers Energy Co. contracts that allow the utility to increase the amount of electricity for its customers that is generated from solar facilities and resolving disputes involving earlier solar contracts. In Case No. U-20165, the Commission approved full avoided cost rates under the federal Public Utility Regulatory Policies Act of 1978. In Case No. U-20500, the Commission approved amended power purchase agreements (PPA) with sPower Development Co. for four solar projects. And in Case No. U-20604, the Commission approved a PPA with Michigan Apple Packers Cooperative Inc. in Kent County.
  • The Commission approved two settlements involving DTE Electric Co. (Case No. U-20876) and DTE Gas Co.’s (Case No. U-20881) two-year energy waste reduction (EWR) plans for 2022-2023. The settlements include additional assistance for low-income customers and innovative approaches to connecting assistance programs with EWR efforts as a long-term effort to reduce these customers’ energy burden. The settlements’ terms include offering EWR to customers in the utilities’ Payment Stability Plan; increasing spending on other programs for income qualified customers in both single-family and multi-family housing; performing studies that will prioritize areas most in need of EWR assistance, and working to boost diversity, equity and inclusion among contractors and suppliers in their EWR program.

For more about orders approved Jan. 20, check out the MPSC’s news release.


The mission of the Michigan Public Service Commission is to serve the public by ensuring safe, reliable, and accessible energy and telecommunications services at reasonable rates.

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“We are thrilled to have Shatina in this role as the MPSC takes steps to formalize its commitment to diversity, equity and inclusion” 

—MPSC Chair Dan Scripps

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MPSC names first Equity and Inclusion Officer

Shatina Jones has been named the MPSC’s first-ever Equity and Inclusion Officer, a role in which she will help lead the agency’s internal and external efforts to address diversity, equity and inclusion matters, in its role as both a regulator and an employer.

“We are thrilled to have Shatina in this role as the MPSC takes steps to formalize its commitment to diversity, equity and inclusion,” said MPSC Chair Dan Scripps. “Shatina has been an instrumental leader, serving as the chair of the Commission’s DEI efforts over the last year and a half, and we are excited as she takes on a leadership role to build on that work."

Jones will serve as a member of the Commission’s senior leadership team, responsible for leading the MPSC’s DEI efforts and formulating policies and priorities to ensure a sustainable, high performing organization and workforce. Jones will research and make recommendations to the Commission on policies affecting its work to ensure fairness and equity related to the organization’s mission, strategic direction, values, and goals.  Jones has worked at the MPSC since 2008 as a senior energy analyst and a senior telecommunications analyst.


 

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MPSC’s Chief Operating Officer provides Senate testimony on ratemaking, rate design and economic development

The MPSC’s Chief Operating Officer, Mike Byrne, offered testimony before the Senate Energy and Technology Committee Feb. 1.

Byrne provided an overview of how rates are set, rate competitiveness in Michigan, and a summary of the large economic development rates the MPSC approved in December for DTE Electric Co. and Consumers Energy as the utilities look to lure high-tech, energy-intensive manufacturers of electric vehicles, battery storage, and semiconductors.

You can watch video of Byrne’s appearance at Michigan Senate TV.


 

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MPSC releases 2022 Commission meeting schedule

The MPSC has released its schedule of Commission meetings for 2022. The Commission plans 21 meetings for the year, with the next meeting taking place March 3 at 1:30 p.m. The final meeting of the year is set for Dec. 21 at 1:30 p.m.


 

Electric choice program rebounds in 2021; cable subscriptions rise, too

Two annual reports released by the MPSC this month showed a rebound in participation and consumption in Michigan’s electric choice program, and the number of video-cable customers in the state increased after several years of steep declines.

These are among the highlights of the two reports:

  • The Status of Electric Competition in Michigan report showed that electricity demand in the electric choice program increased to 2,175 megawatts in 2021, up 217 MW from a decline to 1,958 MW in 2020. The number of customers in the program also increased, to 5,939 in 2021 from 5,706 the year before. The electric choice program is capped in Michigan at 10% of total sales. The temporary decrease in 2020 was due to the overall sales decline during the pandemic, and has rebounded back to the 10% cap for 2021.
  • The agency’s Status of Competition for Video Services in Michigan report showed that the number of video-cable customers increased in 2021 to 1,628,620, which is up 18,341 over the previous year. The number of video and cable television providers in Michigan, however, declined by three to 33.

Have a utility complaint, or need help with your utility service? We’re here to help. Submit your complaint or inquiry online or call 800-292-9555.  

Tune in to our next regularly scheduled virtual commission meeting on March 3, 2022, at 1:30 p.m.


Michigan Public Service Commission

517-284-8100

7109 W. Saginaw Hwy, Lansing, MI 48917