January 25, 2005

The Michigan Public Service Commission (MPSC) today approved a round of grants totaling $15 million from the Low Income and Energy Efficiency Fund.  The grants will be used to assist low-income utility customers with their bills.

  “With temperatures down and natural gas prices up, we all are seeing higher energy bills, and low-income people are particularly in need of extra help this winter,” said MPSC Chair J. Peter Lark.  “I’m pleased to expedite an additional $15 million in grants this heating season to assist those who are most in need of energy assistance.”

The Commission received proposals from eight organizations with requests totaling more than $52 million.  In awarding these grants, the Commission gave preference to organizations with a proven record in distributing energy assistance to low-income residents, an existing administrative structure to handle additional distribution activities, an ability to coordinate the assistance with other service providers and to serve multiple counties.

Today’s order approves the following grants:

• Family Independence Agency (FIA) -- $11.4 million for the Low Income Home Energy Assistance Program for low-income households to restore energy services already disconnected and prevent threatened shut-off of energy services.

• Lighthouse Emergency Services -- $100,000 to assist clients in the Pontiac and Oakland County areas who are ineligible for assistance from FIA or for whom such assistance is insufficient or would not be provided in time to avert an emergency.

• Michigan Community Action Agency Association (MCAAA) -- $1.1 million for Direct Heating Assistance and Deliverable fuels programs for low-income households.

• Newaygo County -- $250,000 to assist clients in a 10-county area ineligible for the State Emergency Relief Program or for whom such assistance is insufficient or would not be available in time to avert an emergency.

• The Heat and Warmth Fund (THAW) -- $1.1 million for the THAW Safety Net Program.

• Salvation Army -- $1.05 million to serve households statewide ineligible for assistance from FIA or for whom such assistance is insufficient or not available.

The Low Income and Energy Efficiency Fund, administered by the Commission, is designed to provide shut-off and other protection for low-income customers and to promote energy efficiency by all customers classes.

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

Case No. U-13129