The Michigan Public Service Commission is responsible for electric and steam utility regulation in the State, including regulatory responsibility over 9 privately owned electric utilities (investor-owned) and 10 rural electric distribution cooperatives (coops). Municipally owned electric (munis) or water utilities are not subject to MPSC regulation.

The Commission is actively pursuing the emergence of competitive electric markets in Michigan via Customer Choice. Pursuant to Public Act 141 of 2000, Section 10a (2), the Commission has established a licensing procedure for all alternative electric suppliers (AES) who wish to provide retail electric generation service in Michigan. This regulatory oversight process includes the requirement that in order to receive a license, an AES must provide certain information, meet "fitness" standards, and commit to adhere to certain conditions when operating in Michigan.

Activities of the Commission Staff involve the presentation of independent recommendations on revenue requirements and rate design in electric rate cases, the administration of electric utility filings pursuant to 1982 PA 304 (Power Supply Cost Recovery) clauses, and recommendations for the disposition of other electric utility filings related to rates, rules and regulations, service charges, and providing information and assistance to members of the public who have questions or concerns about electric services and rates.

Staff is also active in various emerging issues, such as Customer Choice, federal regulatory initiatives and rulemakings, nuclear waste disposal issues, environmental proposals, and participation before the Federal Energy Regulatory Commission (FERC) to protect Michigan's interests.