LICENSING AND REGULATORY AFFAIRS MICHIGAN: MPSC sets home energy assistance funding factor at 91 cents and takes action on renewable energy contracts, other matters

By Press release submission

Jul 29, 2020

Licensing and Regulatory Affairs Michigan issued the following announcement on July 23.

The Michigan Public Service Commission today set at 91 cents the funding factor for the annual Low-Income Energy Assistance Fund (LIEAF) that provides up to $50 million in home energy assistance for vulnerable households.

The funding factor (Case No. U-17377) represents a one-cent decrease from the previous year. Each year, the MPSC sets the rate, which may not exceed $1 per meter (and only one meter per residential customer), to raise a maximum of $50 million annually for home energy assistance through participating utilities. The charge will be effective for the September billing month.

Public Act 95 of 2013 created the LIEAF within the State Treasury and authorizes the MPSC to approve a LIEAF funding factor no later than July 31 of each year for the subsequent fiscal year.

Electric utilities that opt out of collecting the funding factor by law cannot shut off service to any residential customer Nov. 1 through April 15 for nonpayment of a delinquent account. There was no change in the utilities choosing to participate or opt out.

Utilities that filed notice to participate this year are: Northern States Power Co., Consumers Energy Co., DTE Electric Co., Indiana Michigan Power Co., Upper Peninsula Power Co., Alpena Power Co., Alger Delta Cooperative Electric Association, Great Lakes Energy Cooperative, Midwest Energy Cooperative, HomeWorks Tri-County Electric Cooperative, Presque Isle Electric & Gas Co-op, Thumb Electric Cooperative, the Village of Baraga, Bay City Electric Light & Power, Croswell Light & Power Department, the City of Crystal Falls, the City of Dowagiac, the City of Gladstone, City of Hart Hydro, Hillsdale Board of Public Utilities, the City of Marshall Electric Department, Negaunee Department of Public Works, Newberry Water & Light Board, Niles Utilities Department, the City of Norway, the City of Petoskey, the City of St. Louis, and Union City Electric Department.

Bayfield Electric Cooperative, Upper Michigan Energy Resources Company, Cloverland Electric Cooperative, Ontonagon County Rural Electrification Association, Cherryland Electric Cooperative, City of Charlevoix, Chelsea Department of Electric and Water, Village of Clinton, Coldwater Board of Public Utilities, Daggett Electric Department, City of Eaton Rapids, City of Escanaba, Grand Haven Board of Light and Power, City of Harbor Springs, Holland Board of Public Works, Village of L’Anse, Lansing Board of Water & Light, Lowell Light and Power, Marquette Board of Light and Power, Village of Paw Paw, City of Portland, City of Sebewaing, City of South Haven, City of Stephenson, City of Sturgis, Traverse City Light & Power, City of Wakefield, Wyandotte Department of Municipal Service, and Zeeland Board of Public Works all filed notice of their intent to opt out. In addition to precluding utilities from disconnecting customers for non-payment during the winter heating season, state law also requires that assistance funds generated from a specific area be returned to that same area, to the extent possible.

Original source can be found here.