MPSC approves voluntary renewable energy pilot program for DTE Electric Company to allow participants to exceed 10 percent
LANSING, Mich. – (RealEstateRama) — The Michigan Public Service Commission (MPSC) today approved a voluntary renewable energy pilot program (Case No. U-18076) for DTE Electric Company that allows program participants to obtain a larger amount of renewable energy than the 10 percent mandated by Public Act 295 of 2008.
The new program will be limited to an additional 150,000 megawatt-hours (MWh) of generation from company-owned solar and wind facilities.
Program participants will remain on their current tariffed rate and pay an additional subscription fee, fixed for the life of the program, of $0.072 per kWh of usage subscribed for the billing period. Participants would also receive an energy and capacity credit calculated based on their usage and subscription level for the same period.
In its order, the MPSC said its approval of this pilot program does not constitute its endorsement or approval of DTE Electric’s method for computing the value of renewable energy.
Additional MPSC actions today include:
Case No. U-17942: The MPSC approved a settlement agreement authorizing SEMCO Energy Gas Company to implement a gas cost recovery factor of $3.5621 per dekatherm (Dth) for the 12-month period ending March 31, 2017, and a balancing and demand charge of $0.7982 per Dth.
Case No. U-18059: The MPSC approved a settlement agreement authorizing Presque Isle Electric & Gas Co-op to adjust its times interest earned ratio (TIER) for the 12-month period ended Dec. 31, 2015 to 2.46 and to reduce rates by $560,609. Residential natural gas customers using 100 ccf of natural gas will see a decrease of $8.02 on their monthly bills, beginning with the next billing period. In addition, under the terms of the settlement, the cooperative will decrease its regulated cost monthly charge adder from $1.90 to 89 cents, effective with the next billing month, for natural gas customers in Hillman and Allis Township.
Case No. U-18131: The MPSC approved a settlement agreement authorizing Detroit Thermal, LLC, to increase its rates for steam service by $4.99 million and revise its overall rate design. Rates will be restructured by creating four classes of service. Customers will be assigned an applicable rate class based on the simple average of a particular customer’s prior 36 months of steam consumption. Under the terms of the settlement, Detroit Thermal will not seek to file another general rate case for five years, except if its rate of return on common equity falls below 10 percent at any time during the five-year period.
Case Nos. U-18076, U-17942, U-18059 and U-18131
For more information about the MPSC, please visit www.michigan.gov/mpsc or sign up for one of its listservs to keep up to date on MPSC matters.
Contact: Judy Palnau, 517-284-8300
Agency: Michigan Public Service Commission
