LANSING – Both Consumers Energy and Detroit Edison saw increases in customers seeking power from competitors sufficient to bring the utilities to the statutory caps on competition during the past year, the Public Service Commission said in a report issued Tuesday.
The report also showed Michigan commercial power prices had dropped relative to other states since 2000. Its place nationally on residential and industrial power remained relatively steady, though current prices in all classes are below the national average.
Despite concerns raised that the caps of 10 percent of total load imposed on electric choice in 2008 would push all the alternative electric suppliers out of the state, there were still 24 operating in 2009, the report said. That was a net loss of two providers with one obtaining a license and three surrendering theirs.
But only 16 of the licensed alternative suppliers are serving customers, six in Consumers’ territory and 10, including the one new provider, in Edison’s territory.
“Despite being allowed for retail customers of a rural electric cooperative with a peak load of 1 megawatt or above, retail competition has yet to occur in areas served by rural electric cooperatives,” the report said.
Alternative suppliers had 5,424 customers using 1,558 megawatts of power, up from 3,717 customers using 770 MW in 2008. All of those customers, as has been true since customer choice launched in 2000, were industrial and commercial users.
The commission did not make any recommendations for changes to the state’s electric regulations for the coming year. But it did note that it has spent much of the past year implementing the 2008 amendments.
“With the passage of new energy legislation in late 2008, many issues were addressed,” the report said.
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