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Common Term Guide
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A fixed monthly charge that helps pay for meter service, billing, and keeping your home connected to the system — even when you use little or no energy.
Also called: Availability Charge, Facilities Charge, Monthly Service Charge, System Access Charge.
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A charge for the equipment and labor that deliver electricity or natural gas to your home, such as poles, wires, pipelines, and routine maintenance.
Electric also called: Delivery Services, Distribution Energy Charge.
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A usage-based charge for the electricity you used during the billing period, measured in kilowatt-hours (kWh).
Also called: Electric Usage, Energy Usage, Power Supply Energy/Capacity Charge.
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A usage-based charge for the natural gas your utility buys to supply customers. These costs are passed through with no markup.
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A usage-based charge that reflects changes in the cost of fuel and purchased electricity your utility needs to generate power. These costs are passed through with no mark-up.
Also called: Power Supply Cost Recovery, Wholesale Power Adjustment.
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Rates that change based on the time of day or season. Electricity typically costs more during high-use periods like weekday afternoons and less during nights or weekends.
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Small additional charges that help fund statewide programs or specific utility projects approved by the Michigan Public Service Commission (MPSC). Examples include: energy efficiency, renewable energy, infrastructure upgrades, or customer assistance programs.
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A charge that supports programs that help homes and businesses reduce energy waste and lower long-term energy costs for all utility customers.
Also called: Energy Efficiency, EO Surcharge, MI Energy.
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A small monthly charge that supports programs helping eligible Michigan households avoid shutoffs and manage energy bills.
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A charge that supports investments in renewable energy sources such as wind and solar power.
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A temporary charge or credit that helps ensure each customer group (residential, commercial, industrial) pays its fair share of the actual cost to serve that group.
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A charge used to repay low-cost bonds issued to refinance certain utility costs, which can help reduce long-term expenses for customers.
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Credits or small charges that reflect changes in federal or state tax laws and how they affect utility costs.
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A state-required tax applied to energy bills — 4% for residential customers.