HB 4007 amends Michigan's Clean and Renewable Energy Act (2008 PA 295) by expanding the definition of "clean energy system" to include natural gas plants using carbon capture and storage (at least 90% effective) and certain existing natural gas facilities that can meet clean energy standards by 2030 through carbon capture and removal technologies. This change directly affects electric providers required to meet the state's clean energy standard, as it broadens the types of energy sources that qualify toward their compliance targets. The bill specifies that carbon capture must permanently store carbon dioxide (excluding enhanced oil recovery), and permits for new facilities may require higher capture rates if deemed necessary under federal standards. This definition update provides additional pathways for natural gas projects to count toward Michigan's clean energy goals.
Senate Bill 322 amends Michigan's "Clean and Renewable Energy and Energy Waste Reduction Act," specifically reversing changes made by three 2023 public acts. The bill requires electric and natural gas providers to implement renewable energy, clean energy, and energy waste reduction programs, aiming to return cost savings to customers. It establishes a goal for 35% of the state's electricity to be met through a combination of energy waste reduction and renewable energy by 2025. A key provision authorizes state certification for wind, solar, and energy storage facilities, which can preempt local zoning ordinances.
HB 4973 requires electric utilities in Michigan to automatically provide bill credits to customers experiencing power outages during a billing cycle. Residential customers receive credits ranging from $5 per hour for short outages up to $25 per hour for outages lasting 72+ hours, while nonresidential credits use a formula based on the customer's average hourly energy use. Credits apply to the next bill and carry forward if they exceed the current bill amount. The credits adjust every five years using the Consumer Price Index to account for inflation, as specified in the bill's Section 9g.
HB 4976 prohibits electric utilities in Michigan from seeking to recover revenue they were required to pay as service outage credits to customers. This directly affects electric utilities serving Michigan residents and businesses, as it prevents them from later reclaiming refunds paid for power outages. The key provision states that once an electric utility issues outage credits (refunds for service interruptions), it cannot attempt to get that money back through future rate adjustments. This ensures customers who received outage credits retain the full benefit without utilities offsetting those payments against future bills.
HB 4975 requires Michigan electric utilities to automatically provide residential customers with $100 credits on their bills if they experienced 4 or more power outages lasting over an hour in the past year, or $200 credits for more than 4 outages. The bill mandates these credits be applied without customer action, directly benefiting households with frequent service disruptions. Credits will adjust every five years based on inflation using the Detroit-area Consumer Price Index, with changes announced by June 1 each adjustment year. This policy change aims to compensate for unreliable service through automatic billing adjustments under Michigan's utility regulations.
SB 395 updates the definition of "carbon dioxide substance" in Michigan's oil and gas law to explicitly include CO₂ used in enhanced oil recovery operations or storage. This affects companies handling CO₂ for oil extraction and the Michigan Public Service Commission, which regulates these activities. The bill clarifies that carbon sequestration wells operating under existing environmental laws (Part 651 of the Natural Resources Act) are excluded from new regulatory requirements. It does not change existing pipeline rights or create new obligations, solely refining definitions for clarity.
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.
This bill establishes a 10% cap on the portion of an electric utility's retail sales that can be served by alternative electric suppliers, meaning no more than 10% of a utility's customers may switch to alternative providers at any time. The cap can be adjusted downward if less than 10% of sales are already with alternatives, but must return to 10% after five years without adjustment. Exceptions allow specific customers - like those with facilities continuously served by alternatives since 2008 or Upper Peninsula iron ore facilities under settlement agreements - to exceed the cap for their operations. The bill also maintains a queue for customers waiting to switch to alternatives as of December 2015, requiring utilities to manage these requests annually. These changes directly affect Michigan electric utilities, their retail customers, and alternative energy providers seeking to serve them.
HB 5090 amends Michigan's LiHEAP (Low Income Home Energy Assistance Program) funding rules to require a higher percentage of funds to be used for weatherization assistance. Specifically, it increases the mandatory allocation for weatherization services - such as home insulation and heating system upgrades - from existing levels. This change directly affects low-income households receiving weatherization support through state programs. The bill modifies Section 527a of the Income Tax Act (MCL 206.527a) to implement this funding shift. (Note: The bill is currently in committee referral stage and has not yet passed.)
SB 235 creates a corporate income tax credit for businesses that use sustainable aviation fuel (SAF). It directly affects airlines and fuel producers in Michigan by reducing their state tax liability based on the volume of SAF they utilize. The bill amends Michigan's tax code (MCL 206.1-206.847) to add a specific provision allowing corporations to claim this credit. This provides a financial incentive for adopting SAF, aiming to support cleaner aviation fuel adoption without specifying environmental outcomes.
