Energy

This bill extends Michigan's state of energy emergency from July 1, 2026, to September 16, 2026, to align with a potential federal waiver allowing more flexible gasoline production. The measure directly affects consumers and businesses by aiming to prevent fuel shortages and price spikes that could occur if stricter fuel regulations were reinstated. By keeping the emergency in effect, the state can continue to relax its own fuel requirements while the federal government addresses supply constraints. The resolution takes effect immediately upon July 1, ensuring there is no gap in the emergency declaration.

This bill, known as the Energy Pricing Protection Act, prohibits businesses from charging excessively high prices for gasoline, propane, and home heating oil during market disruptions. It defines a market disruption as events like natural disasters, strikes, or emergencies and sets a 20% price increase threshold as the limit for what is considered unjustified, unless sellers can prove higher costs or prior discounts caused the rise. The law applies to anyone selling these essential energy products but excludes utilities regulated by state or federal commissions. Enforcement is handled by state and local prosecutors, who can issue written demands for documents and testimony and file court actions against violators, with investigative details kept confidential until a formal charge is made.

SB 576 creates an energy efficiency revolving fund within Michigan's state treasury to finance state and local energy efficiency projects. The fund accepts state and federal money (including elective payments under federal law), keeps all money intact year-to-year, and prioritizes projects that reduce carbon emissions. State agencies applying for projects must follow strict rules, including capping administrative costs at 10% of project costs and reporting annual savings. The Department of Energy oversees the fund, coordinates project applications, and requires annual reports detailing funding, agencies, and projected savings. This fund directly supports state and local entities implementing energy-saving upgrades.