The cheapest energy is the energy you don’t use. For every dollar spent on energy efficiency programs, customers will save around $4 in avoided energy costs. Since 2009, Michigan’s utility providers have helped customers save almost $6 billion in electric costs and close to $2 billion in natural gas costs.
Public Act 229 of 2023, known as the Clean and Renewable Energy and Energy Waste Reduction Act, amends Michigan’s 2008 energy law, Act 295. This new legislation sets revised Energy Waste Reduction targets for electric and natural gas providers and requires the filing of Energy Optimization Plans. These plans must include strategies for Energy Waste Reduction and may also include optional measures for Efficient Electrification.
Under the Act, electric utilities are required to achieve annual energy savings of 1.5% of their total retail sales from the previous year, while natural gas utilities must achieve annual savings of 0.875%.
Below are links to great resources to help you understand what you can do to be more energy efficient and start saving money!
Michigan Saves makes energy efficiency improvements easy, affordable, and smart. The Michigan Saves Home Energy Loan Program and Business Energy Financing Program are now available statewide.
DSIRE is a comprehensive source of information on state, local, utility and federal incentives and policies that promote energy efficiency.
Public Act 229 establishes new Energy Waste Reduction targets for Electric and Natural gas providers and requires the filing of new customer energy optimization plans beginning January 1, 2025 which are to include energy waste reduction plans as well as optional efficient electrification measures plans. By July 1, 2024, the Commission must commence a proceeding to adopt a framework for the updated energy waste reduction programs of the independent program administrator, Efficiency United, and establish an Alternative Compliance Payment.
Public Act 231 of 2023 requires the Michigan Public Service Commission to periodically conduct Energy Waste Reduction (EWR), Demand Response (DR), and Efficient Electrification (EFEL) potential studies to support modeling scenarios and assumptions used by electric utilities in Integrated Resource Plans filed before the MPSC.
The Low Income Workgroup is collaboratively working to identify and address low income specific energy issues, energy optimization measures, and create new initiatives that can reduce the cost of the energy burden on Michigan's low income energy consumers and communities. With the goal of connecting and combining the expertise, experience, and perspectives of the participating groups, the workgroup is attempting to bridge gaps between program offerings, facilitate more complete delivery of energy efficiency programs, and seek opportunities to better serve low income single family residences and multifamily buildings.
The goal of the Energy Optimization collaborative is to make recommendations for improving Energy Optimization plans for energy providers, provide program evaluation and support, and promote economic development and job creation in Michigan by connecting Michigan manufacturers, suppliers and vendors with EO programs.
The Energy Affordability and Accessibility Collaborative is an open, working group committed to facilitating discussion and obtaining input from a broad range of stakeholders on existing and emerging policy issues related to energy assistance, customer protections and low-income energy waste reduction services. The group's goal is to connect the expertise, experience, and perspectives of participants and provide recommendations to the Commission to better serve low-income and vulnerable households with their energy needs.
Some commercial and industrial customers may be eligible to create and implement a "self-direct" energy waste reduction plan.
A company that desires to become an EWRSC shall submit an application to the MPSC.
The MEMD is a basis for development of initial energy efficiency savings calculations and potential savings for energy efficiency programs.
The BRM provides the basis for energy efficiency programs designed to achieve energy savings by motivating customers to adopt behaviors that result in more efficient energy consumption.
