Dive Brief:
- Commercial and industrial power consumers in Michigan will get a break on their electricity bills, but residential rates will rise under new plans approved by the Michigan Public Service Commission.
- Both Consumers Energy and DTE Energy will be implementing time of use rates that charge customers more for peak power usage.
- The push for time of use rates was driven by Hemlock Semiconductor, a large customer of Consumers that will now see its rates decrease more than 4%, according to mlive.com.
Dive Insight:
Directed by state legislators to consider more equitable ways to price electricity, Michigan regulators have approved time of use rates that will push residential bills higher. Though the end result will be net-neutral for the utilities, large industrial and commercial companies will likely see their bills decline.
According to mlive.com, a roughly 3.7% increase has already gone into effect for DTE residential consumers, along with a likely 4.7% decrease for larger users. In December, Consumers' customers will see similar changes: a 3.2% increase for residential ratepayers and a 4.4% decline for commercial and industrial consumers. Residential customers will be able to participate in optional programs that would charge them less for shifting load to lower-demand parts of the day.
