The bill amends Michigan's laws governing public utilities, particularly focusing on the approval processes for rate increases and the responsibilities of the Public Service Commission (PSC). It requires utilities to obtain PSC approval before raising rates or changing rate schedules that would increase costs for customers. Utilities must also coordinate with PSC staff prior to filing rate cases, and the bill establishes a timeline for the PSC to notify utilities about the completeness of their applications. Additionally, it allows utilities serving fewer than 1,000,000 customers to seek partial and immediate rate relief, with specific timelines for the PSC's response. The bill abolishes automatic adjustment clauses and prohibits rate increases based on fuel cost changes without prior notice and a hearing, emphasizing transparency and public participation in the rate-setting process.
Furthermore, the bill modifies the approval of tariffs for customers involved in net metering or distributed generation programs under the Clean and Renewable Energy and Energy Waste Reduction Act. It mandates that the PSC must approve a tariff for these customers in any rate case filed after June 1, 2018, while exempting those already participating in the net metering program before the new tariff is established. The bill also requires the PSC to review electric utility investment and maintenance distribution plans as contested cases, clarifies definitions related to "utility" and "electric utility," and includes various insertions and deletions to streamline the law's language and structure.
Statutes affected: House Introduced Bill: 460.6