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Grid resiliency

Grid resiliency

The Bipartisan Infrastructure Law (BIL), enacted as the Infrastructure Investment and Jobs Act (IIJA), Section 40101(d) - Preventing Outages and Enhancing the Resiliency of the Electric Grid Formula Grants to States and Indian Tribes will provide funding to States and Indian Tribes to improve resilience and to enhance the reliability to their electric grids.

Michigan will receive a total of roughly $38 million in Preventing Outages and Enhancing the Resilience of the of the Electric Grid Formula Grants to States and Indian Tribes funding through 5 years. The Grid Resiliency Program aligns with the MI Healthy Climate Plan to clean the Grid.

The Michigan Department of Environment, Great Lakes, and Energy (EGLE) is working in partnership with the Michigan Public Service Commission (MPSC) to prepare a grant application for Section 40101(d) funds on behalf of the State of Michigan. This application lays out the objectives of Michigan's' grid resilience grant program, criteria for sub-awarding funds to eligible entities, as well as methods for distributing funds.

Eligibility requirements

Applicants must be physically located in Michigan and one of the following:

  • Investor-Own Utilities (IOU)
  • Cooperative Utilities
  • Municipality Utilities

In 2025, other eligible entities (OEE) can apply if partnered with a Michigan utility that is leading the proposal. OEE includes transmission owners or operators, electricity storage operators, fuel suppliers, and other relevant entities as determined by the Secretary of Energy. 

Funding amount

Round 2

A total of $9,313,204 in funding is expected to be available through this Request for Proposals; 50 percent of the funding will be available for large operators and the other 50 percent will be available for the small operators. All grant agreements require large operators that sell more than 4 Terawatt hours (TWh) of electricity per year, to provide a minimum 100 percent match of the total requested grant funds. For small operators that sell less than 4 TWh or electricity per year, are required to provide a minimum of 33 percent of the total requested grant funds.

Awardee obligations

  • Sample Agreement
  • Must adhere to federal regulations such as: National Environment Protection Act (NEPA), Build America Buy America (BABA), and Davis-Bacon.  
  • Monthly progress updates via phone and email with program manager as needed, including Federal required quarterly and annual reporting
  • Report impacts addressing potential energy and cost savings
  • Provide documentation of project expenditures (i.e. invoices and proof of payment)
  • Submit payment request within 30 days of completing the project / activity
  • One-year follow-up survey on continued impacts of implemented project / activity

Timeline

Round 2

Application Posting Date:

January 13, 2025

Application Deadline:

April 30, 2025
Applicant Questions Due: January 31, 2025
Responses to Questions Available: February 7, 2025

Start Date of Projects:

Effective date of Grant Agreement*

End Date of Projects:

November 30, 2026

Deadline for Payment Submission:

December 30, 2026

*Note: The effective date of the Grant Agreement is dependent on the application date and approval process which first requires EGLE to send each proposed project to the DOE for review and acceptance.

Application documents

Contact us

Nicki Guggemos at GuggemosN1@Michigan.gov or 517-449-9304.

Additional information