Michigan AG Pushes Back Against Consumers Energy Rate Hike

Your electric bill might be going up, but not as much as originally thought.

Consumers Energy has asked the Michigan Public Service Commission to approve a 14% rate hike for customers in 2021, which would result in a revenue increase of $244 million for the company.

The request was made back in February. Now, as of last week, Michigan's Attorney General Dana Nessel is pushing back, calling the increase "excessive and unnecessary."

The 14% increase would be for residential customers; the overall increase for residential, commercial, and industrial would be about 6%.

Nessel, instead, is proposing a less-than-1% increase, which would still result in a $20.7 million in revenue for Consumers Energy. She states the pandemic as her reasoning for the pushback.

“A 14 percent rate increase during a time when people are struggling with job loss and economic hardships is too much. I am fighting this exorbitant rate increase request and asking the MPSC to significantly reduce it. Consumer protection is a strong focus for my office and I will continue this fight and work with other consumer advocate organizations to help all Michigan customers.”

Consumers Energy, overall, has about 1.8 million electric customers and another 1.8 million gas customers throughout Michigan.

I'm happy that somebody is sticking up for us. 14% is INSANE. If you pay $250 per month, this rate increase could potentially add another $35 on to our bills. As somebody who has lived in two other states, I can confirm that we pay a LOT more in Michigan for our utilities already.

Plot thickens. Stay tuned for updates.