AG Nessel argues 8.8% Consumers Energy rate increase request is excessive, unnecessary
DETROIT (FOX 2) - Attorney General Dana Nessel urged the Michigan Public Service Commission to reduce Consumers Energy's pending rate increase request this week.
The request includes an increase of $225 million in revenue.
This would lead to a 8.8% increase for residential ratepayers and a 5.5% increase overall when considering all ratepayer classes – residential, commercial and industrial. Nessel said the rate hike is excessive and unnecessary.
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Nessel argued that under current rate, the company will receive excess revenue in the amount of $30.7 million.
She also said how costs are allocated should be changed so they are more fairly distributed among customers. Under her testimony, residential customers would only see a 4.8% rate increase instead of the 8.8% request.
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"An 8.8% rate increase during a time when people are struggling with job loss and economic hardships is too much," Nessel said. "I am fighting this exorbitant rate increase request and asking the MPSC to deny the request and grant a rate decrease. As this state’s chief consumer advocate, I will continue to advocate for all Michigan customers."
About 1.9 million customers in Michigan get their power from Consumers.