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158305-8 - In re Reliability Plans of Electric Utilities for 2017-2021

Association of Businesses Advocating Tariff Equity,

 

 

 

Appellee,

Michael Patwell

v

(Appeal from Ct of Appeals)

 

 

(Public Service Commission)

 

Consumers Energy Company,

 

Kelly Hall

 

Appellant,

 

and

 

 

Michigan Public Service Commission, and Energy Michigan, Inc., and Michigan Electric and Gas Association,

Appellees.

Spencer Sattler

Brion Doyle

Summary

These appeals concern the efforts of the Public Service Commission (PSC) to ensure sufficient electric capacity and reliability through its implementation of § 6w of the Public Service Commission Act, MCL 460.6w(8), as added by 2016 PA 341 (Act 341).  The issue is whether the statute authorizes the PSC to impose a “local clearing requirement,” which is a measure of electric resource capacity located in a particular local resource zone, on individual alternative electric suppliers.  The PSC determined that it has that authority.  Consumers Energy Company supported the PSC’s decision.  Two interest groups—the Association of Businesses Advocating Tariff Equity (ABATE) and Energy Michigan, Inc.—appealed.  In a published opinion, the Court of Appeals reversed, holding that the PSC exceeded its statutory authority under § 6w.  The Supreme Court has directed oral argument on the applications for leave to appeal of the PSC and Consumers Energy Company to address whether the Court of Appeals erred in holding that 2016 PA 341 does not authorize the PSC to impose a local clearing requirement on individual alternative electric suppliers. ​