• Electric Choice

    Electric Choice was first introduced in Michigan by Public Act 141 in 2000. One goal of the Act was to have competition within the electric industry by offering Michigan customers the opportunity to purchase electric generation services from their incumbent utility or an Alternative Electric Supplier (AES). Public Act 141 was later amended by Public Act 286 of 2008, placing a limit on electric choice. The law provides that no more than 10 percent of an electric utility's average weather-adjusted retail sales for the preceding calendar year may take service from an alternative electric supplier at any time. In recent years, members of the legislature have introduced bills that would either expand or reduce the amount of electric choice in Michigan. The regulatory structure of the states surrounding Michigan varies. Indiana and Wisconsin are both fully regulated and do not provide for electric choice. Illinois has fully restructured, allowing electricity choice without any limit. Ontario has restructured, and Ohio has recently changed its regulatory structure to allow for more electric choice.

    The most recent report prepared by the Michigan Public Service Commission discussing electric choice in Michigan, titled Status of Electric Competition in Michigan, may provide a useful reference.

    As we approach 2015, policymakers will be considering Michigan's energy future. In order to educate the citizens of Michigan about electric choice, we have developed the following questions:

Click on the Question to Comment through April 25, 2013