Michigan Power Customers to Get Higher Reimbursements in Outages, Michigan Regulators Rule

Michigan public service commission approved a $10.8 million rate hike for Upper Peninsula Power Company. However, regulators ordered all utilities to pay their customers who undergo substantial power outages expenses. Specifically, the outage credit claimed by eligible clients is $35. Furthermore, new rules and technical standards have been implemented on utilities to improve reliability after power outages in late February and early March affecting over a million DTE Energy Co., and Customers Energy Co. users. Eligible customer expense reimbursement would automatically credit $35 per day, and regulatory requirements would also cover the ongoing outages starting on the implementation date. Notably, payment conditions split into catastrophic conditions affecting above 10% of the utility services users for 96 hours, gray conditions impacting 1% to 10% of the utility services customers for 48 hours, and normal conditions lasting 16 hours. Regulators also mandated the creation of metrics' web pages to measure the length and frequency of outages by regulated utilities, updated reliability standards, and annual reporting on service quality and reliability performance by rural electric cooperatives and all major utility firms.

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