Consumers Energy peak summer rate now in effect; DTE could follow suit

Peak summer rates now in effect for Consumers Energy customers

Consumers Energy customers will pay more when they use their electricity from 2-7 p.m. through September.

DETROIT (FOX 2) - If Consumers Energy provides your electricity, you'll be paying a bit more when you use it during certain periods of time this summer.

From June through September, energy will cost about 15 cents per kilowatt-hour between 2-7 p.m. and about 10 cents outside of those peak times. Consumers is trying to incentivize customers to use their air conditioners and other high-energy appliances during off-peak hours.

Consumers ran a pilot test in 2019 with 50,000 customers and said most people saved money with the peak rate model.

"We expect to see, if a customer did literally nothing, they would expect to see a $2 impact," said Lauren Youngdahl Snyder, with Consumers Energy.

DTE Energy, which provides most of Metro Detroit with its power, is running a pilot with about 14,000 customers right now, using a model similar to Consumers.

"It's a small amount of difference between peak and off-peak compared to the normal rate, but it could amount to, on average, about $10, $12 of savings a month," said Chris Lamphear, with DTE.

Tips for reducing energy usage:

Install a programmable or smart thermostat to control your air conditioner and save
Adjust your air conditioner by a degree... run it at 71 instead of 70 for example
Run the dishwasher and do the laundry before or after peak hours or on the weekend
Clean or replace your AC filters once a month for more efficient use

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