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Michigan to Review Rate Discounts, Effect on Direct Access

Fortnightly Magazine - August 1997

10th case, Commissioner David Svanda said that allowing Consumers Power to lock up 140 MW of the 240 MW available for the direct access program before any competition begins would require "a very convoluted interpretation" of the commission's intent last year in approving the settlement.

More Discounts Forthcoming. Even as the discount question draws concern, the commission continues to approve such arrangements.

On May 30, the Michigan PSC approved additional special discount contracts between Consumers Power and 14 of its larger customers. See, Case Nos. U-11254, et al.

On the same day, the PSC also approved 17 discount contracts filed by The Detroit Edison Company. See, Re Detroit Edison Co., Case Nos. U-11384, U-11343, U-11313, U-11317, U-11318, May 30, 1997 (Mich.P.S.C.). However, most of those contracts allowed the customer to opt out in favor of direct access service by 2003.

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