August 22, 2006

The Michigan Public Service Commission (MPSC) today approved settlement agreements that authorize rate increases for the Alger Delta Cooperative Electric Association and the Ontonagon County Rural Electrification Association. The Commission also approved a settlement agreement related to Homeworks Tri-County Electric Cooperative’s 2005 power supply cost recovery (PSCR) reconciliation proceeding and its request to increase rates.

The MPSC, in Case No. U-14863, approved a settlement agreement authorizing Alger Delta to increase its rates by $247,877 to be collected through a uniform 4.1 mills per kilowatt-hour (kWh) surcharge.

The company filed a petition on April 25 with the MPSC requesting a $269,305 rate increase.

The MPSC, in Case No. U-14864, approved a settlement agreement authorizing the Ontonagon County Rural Electrification Association to increase its rates by $137,654 to be collected through a uniform 5 mills per kWh surcharge.

The company filed a petition on May 1 with the MPSC requesting a $297,923 rate increase. It subsequently revised its proposed rate increase to $137,654.

The MPSC, in Case No. U-14270-R, combined Homeworks Tri-County Electric Cooperative's 2005 PSCR reconciliation proceeding and its request for a rate increase. The Commission approved a settlement agreement finding a net PSCR under-collection of $897,291. It also authorized the utility to increase its rates by $843,584 to be collected through a 3 mills per kWh uniform surcharge.

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

Case Nos. U-14863, U-14864, U-14270-R