Attorney General Press Release
December 28, 2005
LANSING
– Detroit Edison's
electric customers will receive the benefit of lower electric charges on their
monthly bills if the Attorney General's position, filed in his brief December
22nd, is adopted by the Public Service Commission, Attorney General Mike Cox
announced today.
Cox said the case involving The
Detroit Edison Company in litigation at the Michigan Public Service Commission
would, if approved by the Commission, refund $127 million to approximately 2.1
million electric customers, thus generating a refund of approximately $18 for
each residential customer that would take affect in 2006.
"My office is fighting to refund
the full $127 million to Detroit Edison's customers," Cox said. “As I have
stated in the past, these refunds are important for working families and
individuals who find it hard to pay these energy bills and still make ends
meet," Cox said. “My office will continue to fight for lower energy bills for
Michigan citizens and this case is an excellent example of my commitment to this
fight." Cox said.
Detroit Edison is arguing that
approximately $86 million of the $127 million should be returned to the company
in order to offset extra costs and only $40.6 million should be refunded to its
electric customers.
Due to unusually cool weather,
high energy prices and the migration of some industrial users to other suppliers
in 2004, Detroit Edison was able to sell more electric power to wholesale
customers than originally expected. Because Detroit Edison's retail customers
pay Detroit Edison's operation costs, these customers should receive the benefit
from these extra wholesale sales.
In this case, an administrative
law judge at the Commission is expected to issue his recommendation sometime in
January/February of 2006. "If the administrative law judge rules against
Detroit Edison's customers, my office will continue the fight to the Commission
itself." Cox said. "Hopefully, Detroit Edison's electric customers can look
forward to some reductions in their monthly energy bills instead of constantly
bracing for added increases."
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