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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