Dive Brief:

• Pointing to an effective regulatory strategy and the improving Michigan economy, Standard & Poor's Ratings Services upgraded CMS Energy and its Consumers Energy utility subsidiary to a positive outlook from stable.
• In a move that would also affect DTE Energy, Michigan regulators will likely not increase the state's 10% customer choice cap on electricity sales in place now, S&P said.

Dive Insight:

S&P's ratings change, which follows a similar move by Fitch, is a good sign for CMS Energy, based in Jackson, Michigan. “We base the positive outlook on our expectations that the company will continue to effectively manage regulatory risk and earn its allowed return on equity by effectively managing costs and minimizing regulatory lag,” S&P said.