Energy (Renewable Energy)

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 4709 prohibits the construction of commercial wind turbines for electricity production in the Great Lakes or their connecting waters, and bans operating any such turbines built in violation of this rule. It directly affects commercial wind energy developers planning projects in these waters, preventing new installations. The bill also states that renewable energy credits cannot be issued for electricity generated by prohibited turbines, and allows the attorney general to seek court injunctions to stop violations. This amendment adds a specific environmental protection measure to Michigan's Clean Energy Act.

HB 4590 adds Part 9 to Michigan's Clean and Renewable Energy Act, requiring the Michigan Public Service Commission (MPSC) to create rules for "Locally Distributed Shared Solar Facilities" (LDSS). This bill directly affects community solar projects and subscribers, mandating that LDSS facilities must use solar panels not made in China, North Korea, or Iran, have at least three subscribers, limit any single subscriber to 40% of output, and meet specific size caps (5 MW or 20 MW). Key provisions include requiring facilities to provide bill credits proportional to each subscriber's contribution and ensuring 60% of capacity is subscribed by small users (40 kW or less). The MPSC must establish these rules to govern community solar programs under this new framework.

HB 4128 creates a new corporate income tax credit for businesses generating power from advanced small modular reactors (SMRs) in Michigan. It directly affects utility companies and energy developers investing in SMR technology by providing a financial incentive to offset project costs. The key provision adds Section 678 to Michigan's tax code, allowing qualifying entities to claim a credit against their state corporate income tax liability for SMR-generated electricity. This policy change aims to support clean energy development without specifying expected outcomes or endorsing particular technologies. The bill passed the House on October 28, 2025, and is now pending final approval in the Senate.