The bill amends Michigan's laws regarding the regulation of public and private utilities, particularly focusing on alternative electric suppliers. It mandates the Michigan Public Service Commission to set rates, terms, and conditions that enable retail customers to access these suppliers, imposing a 10% cap on the average weather-adjusted retail sales served by them. Notably, customers who have been continuously served by an alternative supplier since April 1, 2008, can expand their usage without reverting to utility service. Additionally, customers operating iron ore mining facilities in the Upper Peninsula are exempt from the 10% cap when purchasing electricity from alternative suppliers, provided they adhere to specific settlement agreements.

The bill also introduces a licensing procedure for alternative electric suppliers, requiring them to maintain a state office and meet financial and technical standards. It emphasizes customer rights, ensuring that no customer can be switched to another supplier without consent and that they have a defined period to secure alternative service if their current supplier limits service. New definitions for "self-service power," "community service power," "Customer," "Island mode," and "Microgrid" are included to clarify operational statuses and rights related to electricity generation and usage. Furthermore, "Standard tariff service" is defined as the retail rates approved by the commission for customers not opting for alternative suppliers, enhancing the regulatory framework for electric utilities and microgrid systems.

Statutes affected:
Senate Introduced Bill: 460.10