MPSC updates capacity demonstration reporting parameters

FOR IMMEDIATE RELEASE   September 13, 2018 
Contact:          Nick Assendelft 517-284-8300
Customer Assistance: 800-292-9555
www.michigan.gov/mpsc

LANSING, Mich. – The Michigan Public Service Commission (MPSC) today adopted updates to the state reliability mechanism (SRM) capacity demonstrations utilities must file to prove adequate long-term arrangements for electric capacity.

The recommendations were made in a Capacity Demonstration Technical Conference in July and contained in a report Commission staff filed in Case No. U-20154. The MPSC in May ordered its staff to answer certain questions that were raised as electric providers filed affidavits that they can meet their obligations to provide electric service to their customers for the 2018-19 through 2021-22 planning years (Case No. U-18441).

Approved today were updates to the reporting templates and affidavits that electric providers must submit to the Commission. The templates and affidavits will be used for the 2022-23 planning year capacity demonstrations.

The Commission today also delayed enforcement of the individual forward locational requirement for electric providers (Case No. U-18444), since the Michigan Court of Appeals in July ruled the MPSC did not have the authority to impose the requirement (Case No. U-18197). The Commission has appealed the decision to the Michigan Supreme Court.

After the Court of Appeals ruling, Energy Michigan, Inc. asked the Commission to reconsider its June decision on the requirement in Case No. U-18444. The Commission has denied Energy Michigan’s request.

For an Issue Brief about the forward locational requirement, click here.

Other rulings today

DTE Gas Co. rehearing denied: The Commission turned down DTE Gas Co.’s petition for a rehearing of a decision in Case No. U-17691-R that blocked the utility from collecting a portion of costs charged to gas cost recovery/gas customer choice customers. DTE Gas said the denial left the company without a way to recover the more than $1.1 million. The Commission ruled its decision did not create the unforeseen consequence.

I&M customers due refunds: The Commission found that the net lost revenue recovery tracker approved for Indiana Michigan Power Co. (I&M) in 2010 is an unlawful revenue decoupling mechanism (RDM), which adjusts a utility’s revenues when its sales decline due to utility energy waste reduction programs (Case No. U-18333). I&M had been collecting an RDM surcharge and the Commission ordered the utility to calculate the total amount collected, which must be refunded to its customers.

To look up cases from today’s meeting, access the eDockets filing system here.

For information about the MPSC, visit www.michigan.gov/mpsc, sign up for one of its listservs, or follow the Commission on Twitter.

DISCLAIMER: This document was prepared to aid the public’s understanding of certain matters before the Commission and is not intended to modify, supplement, or be a substitute for the Commission’s orders. The Commission’s orders are the official action of the Commission.

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