Dive Brief:

• Seeking to avoid placing the state's future in the hads of Washington "bureaucrats," Michigan Gov. Rick Snyder (R) has announced that his state will develop a plan to comply with the Obama administration's Clean Power Plan.
• State leaders held a conference call this week to discuss Michigan’s compliance strategy, hosted by the Michigan Agency for Energy and the Michigan Department of Environmental
  Quality.
• While Snyder's office said it appears a reasonable path to compliance can be found, he also lamented that more than half of Michigan’s renewable energy generation will not be awarded credits under the ratebased emissions approach in the final rule.

Dive Insight:

Michigan, along with more than a dozen other states, is still pushing for a stay of the Clean Power Plan rules, but the state intends to submit a compliance plan by September of next year in order to avoid having a federal strategy mandated.

“The best way to protect Michigan is to develop a state plan that reflects Michigan’s priorities of adaptability, affordability, reliability and protection of the environment,” Gov. Snyder said in a statement. “We need to seize the opportunity to make Michigan’s energy decisions in Lansing, not leave them in the hands of bureaucrats in Washington, D.C.”

The state said it will "soon" announce details of the stakeholder process expected to begin by
the end of the year, but the administration has obviously done extensive work getting groups on board. Alongside a statement from Snyder, the governor released comments from more than two dozen groups supporting the decision to develop a plan.

DTE contributed comment, saying the state knows best how to control its energy future.

"Over the next 15 years, DTE Energy and other Michigan utilities will retire 60% of today’s coal fired generation as the plant’s reach the end of their serviceable life span," the utility said. "The average age of a Michigan coal plant is approaching 50 years."

Consumers Energy said it "fully endorses a Michigan-first energy policy" and said it supports Snyder's decision. "Placing our energy future in the hands of Washington would be unwise, putting at risk the reliability of electric service for millions of customers and jeopardizing the significant progress Michigan has made to improve rate competitiveness," Consumers said.

Snyder's administration indicated it will also continue a multi-agency collaboration between the Michigan Economic Development Corporation, Michigan Agency for Energy, Department of Environmental Quality and the Michigan Public Service Commission in the SCIP development process.

Michigan's move is significant in part because some other states led by Republicans have announced that they may not file compliance plans with the EPA. Senate Majority Leader Mitch McConnell (R-KY) has urged states to "just say no" to the Clean Power Plan.