MPSC OKs process for addressing requests under regional transmission operator MISO’s Expedited Resource Addition Study, approves projects for inclusion

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The MPSC today approved a process for addressing requests filed under the Midcontinent Independent System Operator Inc.’s (MISO) Expedited Resource Addition Study (ERAS) tariff (Case No. U-21902), a temporary process meant to speed up the review of new electric generation projects to address resource adequacy and reliability needs in MISO’s territory in the near term.

MISO is the regional transmission operator for most of Michigan, 14 other states and the Canadian province of Manitoba. Under ERAS, new electric generation projects must be approved by utility regulators before consideration by MISO. The process established today was designed in response to this requirement and reflect some of the unique features of Michigan’s regulatory framework.

The Commission in June sought comment on a revised process proposal for addressing requests filed under the ERAS tariff. Today’s order reviews comments and explains the process the Commission approved.

In a related matter, the Commission today verified that three DTE Electric Co. energy storage and renewable energy projects are eligible to be included in the ERAS process.

The DTE Electric projects that the Commission deemed eligible for fast-tracked interconnection study include the 350-megawatt (MW) Monroe Storage Project in Monroe County and the 200-MW Fermi Storage Project, both of which will connect to a new substation the company is building in Monroe County; as well as the company’s 175-MW Au Gres Solar Park Project, which will connect to a new substation in Arenac County. The three projects are anticipated to begin commercial operation in 2028.

The Commission’s approval of the projects for ERAS inclusion does not indicate the Commission’s overall approval of the projects. Rather, the Commission’s decisions on project approval will take place when the projects are formally submitted, while decision on cost recovery will happen in appropriate future rate cases or other cost-recovery proceedings.

In addition, the Commission approved three Consumers Energy power purchase agreements (PPAs) for battery electric storage projects, one of which expressly sought approval for fast-tracking through the ERAS process (Case No. U-21090).

The Commission approved the company’s three 20-year PPAs with Grand Basin Energy Storage LLC in Jackson County, Hackett Energy Storage LLC in Saginaw County and Lakeside Energy Storage LLC in Mason County for the capacity, energy, renewable energy credits and environmental attributes produced by three 100-MW battery energy storage systems with commercial operation expected in 2027 and 2028. The Hackett Energy Storage project developer has requested consideration for approval of the project’s eligibility for ERAs inclusion in the same docket. Costs for the projects must still be approved by the Commission in future proceedings.

COMMISSION EXPANDS CUSTOMER ACCESS TO CONSUMERS ENERGY CO.’S CLEAN ENERGY OPTIONS  

The Michigan Public Service Commission today approved changes sought by Consumers Energy Co. to the utility’s voluntary green pricing (VGP) program tariff that allows customers to voluntarily specify a certain amount of electricity purchases to come from renewable energy resources, with costs of the program billed to participating customers (Case No. U-21937).

The Commission approved changes Consumers sought to its VGP tariffs to:

• Expand the definition of “income qualified customer” under the utility’s Green Giving Program so that the program can be extended to more customers. The Green Giving Program uses sponsored funds to provide access to the benefits of renewable energy projects, including savings on utility bills, at no cost to eligible customers who enroll. The Commission approved revisions to update the definition of an income-qualified customer to include those participating in additional income-qualified programs, customers identified by assistance agencies using categorical eligibility, customers self-identifying their income level, customers facing hardship, and customers located in low-income census tracts.
• Remove a 12-month enrollment requirement for full-service residential customers participating in Consumers’ Renewable Energy Program. Consumers said the change would provide financial flexibility to residential customers and encourage additional enrollments in the program.
• Clarify that the company’s Renewable Energy Credit Program is available to metered and unmetered customers. Consumers argued that the change would correct an inconsistency in the company’s tariff and, in particular, support municipalities interested in participating.

The Commission also approved removing an exclusion from eligibility for customers receiving benefits from the Consumers Affordable Resource for Energy, Low-income Assistance Credit, and Percentage of Income Payment Plan. Enrollments will be available on a first-come, first-served basis and subject to available supply and funding. 

The Consumers Energy VGP programs are among VGP offerings required under Public Act 342 of 2016 for all investor-owned utilities regulated by the MPSC, which must review and approve their offerings. VGP programs also are required for municipal and cooperative utilities and alternative electric suppliers not regulated by the MPSC.

Utility VGP offerings in Michigan are among the most robust in the nation. In recent years, Michigan utilities have partnered with their customers on some of the largest renewable energy deals in U.S. history, while at the same time enrolling tens of thousands of residential customers in their voluntary renewable energy programs.  

COMMISSION OKS AMENDED CONSUMERS ENERGY POWER PURCHASE AGREEMENT FOR OUTPUT OF ADA HYDROELECTRIC PLANT

The MPSC approved a power purchase agreement (PPA) amendment between Consumers Energy Co. and STS Hydropower LLC for the output of the 1.4-megawatt Ada Hydro Plant on the Thornapple River in western Michigan (Case No. U-18425). Consumers executed a new PPA with STS for a term running June 1, 2025, to May 31, 2026; the agreement’s terms are based on the company’s Commission-approved energy-only avoided cost rates under the Public Utility Regulatory Policies Act of 1978 and will not increase rates beyond levels previously approved by the Commission.   

MPSC SEEKS COMMENT AS IT REVIEWS UTILITY SHUTOFF POLICIES DURING EXTREME WEATHER CONDITIONS; TECHNICAL CONFERENCE SET FOR FALL With climate change bringing more frequent and dangerous extreme heat and cold weather patterns, the MSPC today kicked off a review of policies that Michigan’s regulated electric and natural gas utilities follow on suspending service shutoffs during periods of extreme temperatures (Case No. U-20140). Customer protection during extreme weather is of paramount importance, and the Commission is conducting a comprehensive review of potential modifications to the current extreme weather policies for all regulated energy companies. The Commission announced it is seeking comment on a number of issues spelled out in today’s order and directed MPSC Staff to hold a technical conference to further discuss issues. Interested persons and organizations may submit written initial comments by 5 p.m. Sept. 18, 2025, with replies due by 5 p.m. Oct. 16, 2025. The Commission directed Staff to host the technical conference by Dec. 1, 2025, and to file a report summarizing the results of the comments and the technical conference and recommending changes to existing extreme weather condition policies, if any, by Feb. 17, 2026. 

MPSC APPROVES DTE GAS CO.’S GAS COST RECOVERY PLAN RECONCILIATION, DISALLOWS NEARLY $1M IN COSTS

The MPSC approved DTE Gas Co.’s application for approval of its gas cost recovery (GCR) reconciliation while disallowing nearly $1 million in costs the company sought for its purchase of responsibly sourced gas, or RSG (Case No. U-21065). The approval requires the utility to reflect a net underrecovery, with interest, of $4,430,614 as its 2023-2024 GCR reconciliation beginning balance and a net overrecovery, with interest, of $307,916 as its 2023-2024 gas customer choice beginning balance. The Commission disallowed $973,465 in costs associated with the purchase of RSG.

COMMISSION GRANTS TEMPORARY WAIVERS TO ELECTRIC CO-OPS

The Commission approved extensions of temporary waivers from some MPSC service quality and reliability standards for a number of electric cooperatives while also requiring updated reporting (). The Commission granted certain waivers, effective Jan. 1, 2025, through Dec. 31, 2026, giving more time to Alger-Delta Cooperative Electric Association, Cherryland Electric Cooperative, HomeWorks Tri-County Electric Cooperative, Midwest Energy & Communications, the Ontonagon County Rural Electrification Association, Presque Isle Electric & Gas Co-op and Thumb Electric Cooperative of Michigan to come into compliance with the specific reporting and performance requirements contained in the MPSC’s Service Quality and Reliability Standards for Electric Distribution Systems Rule 32(c) and (h)(ii) and Rule 23(1) and (2)), as the cooperatives continue work to implement upgrades to systems, software and facilities that will enable them to meet requirements. The Commission, however, declined approval of waivers for Great Lakes Energy Cooperative. In addition, the Commission determined that any co-op experiencing more than 100 downed power line events will not be exempt from reporting standards in Rule 32(c). The Commission also directed Presque Isle, Midwest and Ontonagon to file by Oct. 3, 2025, amended 2024 annual reports that include information required by Rule 32 that is not subject to the retroactive waiver approved today. Great Lakes also must amend its March 14, 2025, annual report by Oct. 3. by Oct. 3.

MPSC OKS EXTENSION OF DTE ELECTRIC, DTE GAS DATA PRIVACY TARIFF WAIVER HELPING DETROIT TO IDENTIFY UNREPORTED OCCUPANCY

The Commission granted a request by DTE Electric Co. and DTE Gas Co. for an extension of a waiver first granted in 2023 on one part of the utility’s data privacy tariffs concerning customer personally identifiable information used to assist the City of Detroit in developing an occupancy model predicting the occupancy status of buildings, allowing for a more equitable distribution of services, improved access to resources and for long-term infrastructure maintenance planning (Case No. U-21901). DTE’s application contends the information will help inform delivery of Medicaid, Medicare Part B, Supplemental Nutrition Assistance Program, and other educational, nutritional and housing programs to vulnerable and under-resourced residents. Approval of the waiver, which will be in effect through Dec. 31, 2028, is contingent on the City’s agreement that it will coordinate with MSPC Staff to ensure appropriate date privacy measures are in place prior to public release if, at any time, the City decides to publicly share its occupancy model. The two utilities must report to the Commission any adverse impacts caused by the waiver on customer data privacy and security.

MPSC GRANTS PERMANENT BASIC LOCAL EXCHANGE SERVICE LICENSE

TO PB MICHIGAN FIBER ASSET ENTITY LLC

The Commission today granted a permanency license to provide basic local exchange telephone service (BLES) to PB Michigan Fiber Asset Entity LLC (Case No. U-21910). PB Michigan was initially granted a temporary license to provide BLES in June 2025. Today’s approval permits PB Michigan to provide BLES in the incumbent local exchange carriers’ service territories throughout the state of Michigan.

COMMISSION DIRECTS FURTHER REVIEW OF CRITICAL CARE PROTECTIONS WITH EYE TOWARD MAINTAINING SAFEGUARDS, PREVENTING HIGH BILLS

The MPSC directed participants in an ongoing review of the Commission’s shutoff protections for critical care customers — those who require, or have a household member who requires, home medical equipment or life support, for whom an interruption of service would be immediately life threatening — continue to pursue potential rule changes that would maintain customer protections but also work to prevent such customers from incurring unmanageably high energy bills (Case No. U-21939). The Commission directed MPSC Staff and the Commission’s Critical Care Collaborative (CCC), part  of the MPSC’s Energy Affordability and Accessibility Collaborative, to develop recommendations to improve the critical care protections and for Staff to file a report of the CCC’s activities, findings and recommendations on potential changes to Mich Admin Code, R 460.130a, which outlines critical care protections, by March 27, 2026.  

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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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