The Michigan Public Service Commission (MPSC) today approved the renewable energy plans for 11 Michigan alternative electric suppliers (AESs).  It also found three other AESs to be in compliance with Michigan law.

Public Act 295 of 2008 required all AESs to file their plans with the MPSC to establish a renewable energy program (REP).  Section 23(2) of PA 295 provides that an AES's proposed REP must fulfill both of the following requirements:  the plan must describe how the AES will meet the renewable energy standards, and the plan must specify whether the number of megawatt-hours (MWh) used in the calculation of the renewable energy portfolio will be weather-normalized or based on the average number of MWh sold to Michigan retail customers annually during the previous three years.

In Case No. U-15825, the MPSC found BlueStar Energy Services, Inc. to be in compliance with the law.  It is not required to file a renewable energy plan because it has no retail customers in Michigan.

In Case No. U-15826, the MPSC approved the REP of CMS ERM Michigan LCC, finding it in compliance with the law.  The AES will bear the cost of acquiring renewable energy credits (RECs) and will calculate the REC requirement using the average of the previous three years of electricity sold to its only customer.  It will pursue contracts for RECs with affiliated facilities.

In Case No. U-15827, the MPSC found CMS Energy Resource Management Company to be in compliance with the law.  It is not required to file a renewable energy plan because it has no retail customers in Michigan.

In Case No. U-15828, the MPSC approved the REP of Commerce Energy, Inc., finding it in compliance with the law.  The company will use weather-normalization to calculate electricity sales from the previous year and to begin purchasing RECs by 2012 to meet the 10 percent goal by 2015.  Incremental costs to customers will be levelized over a 20 year period and will not exceed the rates authorized by the law.

In Case No. U-15829, the MPSC approved the REP of Constellation NewEnergy, Inc., finding it in compliance with the law.  The company will use weather-normalization to calculate electricity sales from the previous year and to begin purchasing RECs by 2012 to meet the 10 percent goal by 2015.  Incremental costs to customers will be levelized over a 20-year period and will not exceed the rates authorized by the law.

In Case No. U-15830, the MPSC found Direct Energy Services, LLC, to be in compliance with the requirements of the law.  It is not required to file a renewable energy plan because it has no retail customers in Michigan.

In Case No. U-15832, the MPSC approved the REP of FirstEnergy Solutions Corp., finding it in compliance with the law.  The company will use weather-normalization to calculate electricity sales from the previous year and to being purchasing RECs by 2012 to meet the 10 percent goal by 2015.  It may substitute energy optimization credits or advanced cleaner energy credits for RECs, with approval from the MPSC.  Incremental costs to customers will not exceed the rates authorized by the law.

In Case Nos. U-15833 and U-15842, the MPSC approved the REPs of Integrys Energy Services Inc. and Quest Energy, L.L.C, which filed a joint application, finding them in to be in compliance with the law.  The companies will meet the renewable energy portfolio requirements by using weather-normalization to calculate electricity sales from the previous year and to begin purchasing RECs by 2012 to meet the 10 percent goal by 2015.  At this time, the companies will not recover from customers the cost of compliance but reserve the right to implement a surcharge up to the statutory limit upon notification of the MPSC.

In Case No. U-15837, the MPSC approved the REP of MidAmerican Energy Company, finding it in compliance with the law.  The company will use weather-normalization to calculate electricity sales from the previous year and to begin purchasing RECs by 2012 to meet the 10 percent goal by 2015.  At this time, the company will not recover from customers the cost of compliance but reserves the right to implement a surcharge up to the statutory limit, upon notification to the MPSC.

In Case No. U-15843, the MPSC approved the REP of Sempra Energy Solutions LLC, finding it in compliance with the law.  The company will use weather-normalization to calculate electricity sales from the previous year and to begin purchasing RECs by 2012 to meet the 10 percent goal by 2015.  The costs to customers will be recovered through energy prices in its retail customer contracts and will not exceed the rates authorized by the law.

In Case No. U-15844, the MPSC approved the REP of Spartan Renewable Energy, inc., finding it in compliance with the law.  The company will meet its renewable energy portfolio standard requirements with renewable power supply purchases, banked renewable power supply, or a combination of those options.  It said it currently exceeds mandated renewable energy goals and will continue to meet its renewable energy requirements through Michigan renewable generation and banked RECs.  It will base the number of Mwh of electricity used in the calculation of its REC portfolio on the average number of Mwh of electricity sold annually during the previous three years.  Spartan Renewable Energy, Inc. said it does not expect to request a renewable energy surcharge before 2012.

In Case No. U-15845, the MPSC approved the REP of Direct Energy Business, LLC, finding it in compliance with the law.  The company will meet the renewable energy portfolio requirements by using weather-normalization to calculate electricity sales from the previous year and to begin purchasing RECs by 2012 to meet the 10 percent goal by 2015.  It proposes to meet the renewable energy standards by purchasing RECs on the wholesale market.

In Case No. U-15847, the MPSC approved the REP of Wolverine Power Marketing Cooperative, finding it in compliance with the law.  The company will meet the renewable energy portfolio requirements by using the average number of MWh of electricity sold annually to its customers during the previous three years.  It will meet its renewable portfolio standard percentage requirements with qualifying renewable power supply purchases, REC purchases, banked renewable power supply, or a combination of these.  The company does not expect a renewable energy surcharge before 2012; however, if REC purchases are required, the company will assess incremental charges that will not exceed those authorized by law.

The MPSC is an agency within the Department of Energy, Labor & Economic Growth.

Case Nos. U-15825 through U-15830; U-15832 through U-15833; U-15837; U-15842 through U-15845; and U-15847.