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Hello, and welcome to the January edition of the MPSC Spotlight. This month, the newsletter has information on Michigan’s exceptional ranking on a national energy efficiency scorecard, news from the Commission meeting in January, and a list of dates for Commission meetings for the remainder of 2023.
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Michigan utilities’ energy efficiency policies and programs ranked third best in the nation in the American Council for an Energy-Efficient Economy’s 2022 State Energy Efficiency Scorecard, up from seventh place in the nonprofit research group’s previous scorecard.
Michigan trailed only California and Massachusetts, and the report named Michigan one of six “States to Watch,” citing the MPSC’s MI Power Grid effort, an initiative launched in 2019 to maximize the benefits of Michigan’s transition from centralized power plants to clean, distributed sources of energy.
Michigan received 13 out of 15 possible points in the utility energy efficiency category of the report. This category gives points based on a state’s incremental savings from electric, natural gas and fuels efficiency programs, spending on electric and natural gas efficiency programs, energy efficiency resource standards, support of low-income energy efficiency programs and other factors.
Overall, Michigan ranked 15th among the states in the report, factoring in the remainder of the report’s categories. The report found Michigan has room to improve energy efficiency in the transportation sector, including approving incentives for the adoption of electric vehicles and furthering investments in public transit.
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The MPSC approved a seventeen-party settlement agreement granting a $155 million rate increase for electric customers of Consumers Energy Co., a 43% reduction from what the utility initially sought (Case No. U-21224). Three additional parties signed statements of non-objection.
Consumers initially requested to raise rates by $272 million, a figure the company later raised to $293.5 million. The settlement agreement filed in December reduced the amount to $155 million. The agreement also permits the company to implement a surcharge to recover $6 million for a 2021 distribution deferral.
As a result of this settlement, a typical residential customer using 500 kilowatt hours a month will see an increase of $2.10, or 2.06%, on their monthly bill. After 12 months, the customer will see a decrease of $1.33, or 1.28%, monthly due to the net effect of a surcharge and credit expiring, for a net overall increase from a monthly bill under current rates of $0.77, or 0.75%.
Among other highlights in the settlement:
- Consumers’ will enhance its the PowerMIDrive and PowerMIFleet programs — the utility’s electric vehicle pilot programs for, respectively, residential and commercial customers — and will transition the residential segment of the PowerMIDrive pilot to a permanent program. Improvements will include the implementation of an on-bill installment payment plan.
- Consumers will double the cap on its distributed generation and legacy net metering program from the current 2% of the utility’s average in-state peak load for full-service customers to 4%.
- The company will propose a program to target a line clearing program at areas with the most outages.
- The utility will propose a pilot for electrifying residential use of propane and other unregulated fuels, with a goal to include 2,000 homes over three years.
- Take steps to enhance equity and outreach, including conducting customer outreach following the filing of its next rate case, providing an analysis of reliability and hosting capacity for customers in environmental justice communities in its next rate case, and incorporating environmental justice and equity into the company’s distribution system planning.
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Detroit’s 313 area code is set to run out of available phone numbers by the third quarter of 2025, so a proposed 679 overlay area code will be the subject of an MPSC public hearing in March.
The hearing will be March 9, 2023, 1:30-3 p.m. at Wayne County Community College District’s downtown campus, in the Frank Hayden Community Room #236, 1001 W. Fort St in Detroit. An administrative law judge will conduct the hearing, and MPSC Staff will provide a presentation outlining the issue.
The North American Numbering Plan Administrator (NANPA), the agency responsible for administering telephone numbering plans in the United States, Canada and multiple Caribbean countries, filed a petition with the MPSC in November seeking to implement the 679 overlay.
The proposed 679 overlay would cover the same geographic territory of the 313 area code, without splitting the current area code boundaries or requiring a change of numbers for existing phone users by moving existing 313 phones to a new area code. Rather, current 313 numbers will remain in place while new phone customers in the same territory may be assigned numbers with the 679 area code.
Learn more about the overlay and other orders the MPSC approved Jan 19 in the MPSC’s news release.
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The MPSC has posted responses to its request for proposals for Low-Carbon Energy Infrastructure Enhancement and Development Grants online for public review.
Public Act 53 and Public Act 166 of 2022 provide for a combined $50 million in grants for businesses, nonprofit organizations and local governments to develop, acquire or build low-carbon energy facilities that may include natural gas, combined heat and power or renewable natural gas facilities as well as electrification programs.
The Commission issued the RFP in September, with two question and answer periods in late 2022. Proposals were due by Jan. 6, 2023.
The two public acts required the MPSC to allow local units of government, environmental groups, and business interests directly affected by the proposal 45 days to review the application and provide comments. So, the MPSC has posted a link to the Low Carbon EIED Grant proposals on the Low Carbon EIED Grants webpage. Comments will be submitted through each proposal’s page and be available for viewing by the public.
After the 45-day review period, applicants will have a 15-day window to modify their proposal and resubmit if desired. Modified proposals should be submitted to LARA-MPSC-LowCarbonGrants@michigan.gov and the email should explain that the proposal has been modified. Modified proposals also will be posted to the grant webpage.
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The MPSC's schedule of regular Commission meetings is out for 2023.
The Commission will meet next at 1 p.m. Feb. 2. All Commission meetings are held in person at our offices at 7109 W. Saginaw, Lansing, and livestreamed via Microsoft Teams.
You can see the full schedule at bit.ly/3iWx2DN.
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 Feb. 2 at 1 p.m.
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Give us a like at Facebook.com/MichiganPSC, and follow us if you’re so inclined. We’re expanding our outreach and hope to connect with you so we can get important consumer information out to Michigan utility customers. You can also catch us on Twitter and LinkedIn and watch videos of meetings and other content on our YouTube channel.
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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.
Michigan Public Service Commission
517-284-8100
7109 W. Saginaw Hwy,
Lansing, MI 48917
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