Michigan House Passes Clean Energy Future Bills, Putting the State on the Path to 100% Clean Energy
The bills would make Michigan a national leader on clean, carbon-free and renewable energy while also providing Michiganders with more affordable utility bills
LANSING, MI – The Michigan House of Representatives late Thursday passed the Clean Energy Future bill package which represents a major step forward towards the state’s clean energy goals. The bills passed through the Senate last week and next will head to Governor Gretchen Whitmer’s desk for signature.
The legislation, which includes Senate Bills 271, 273 and 502, would make Michigan a national leader on clean, carbon-free, and renewable energy, provide Michiganders with more options for affordable utility bills, set up the state to capture billions in public and private funds, and drive more equitable job creation and benefits for consumers. Additional work will follow to ensure successful implementation of the package and an equitable clean energy transition for all.
The following is a reaction from Derrell Slaughter, Michigan Clean Energy Advocate with NRDC (Natural Resources Defense Council):
“With the passage of the Clean Energy Future package, we’ll require utilities to move to 100% clean energy by 2040 and put more resources toward energy efficiency, including more energy efficiency investment and health and safety resources specifically for low-income residents to make improvements to their homes.
“Passing this legislation solidifies Michigan as a national clean energy leader and is a crucial first step toward cleaner air, cleaner water and more affordable electricity bills for Michiganders.”
About the Legislation:
The Clean Energy Future bills will mandate and include –
Renewable Energy
- 50% renewable energy by 2030, ramping up to 60% by 2035, making Michigan one of the strongest renewable states in the Midwest and nationally
- A 100% clean electricity standard by 2040, making Michigan just the 9th state to have enacted legislation that fully cleans up its power production
- An energy storage standard of 2,500 megawatts, making Michigan one of just a few states with this requirement and the first in the Midwest to do so
- A boost to distributed generation, by increasing the state’s “cap” on rooftop solar from 1% to 10% of each utility’s 5-year average peak load
Energy Efficiency
- Increases electric energy efficiency savings requirements and goals to 1.5%, with incentives that will get the utilities to 2% annually, making Michigan a leader in energy efficiency nationally
- First ever codified low-income energy efficiency spending requirement
- Health and safety measures allowed for low-income programs, helping Michiganders make more holistic improvements to their homes while making them more energy efficient
- Building electrification programs allowed under the energy efficiency standard, an ambiguity in the prior law that prevented progress on electrification
- Incentivized shifts in gas energy efficiency spending to focus more on building envelope, rather than continuing to incent gas appliances
- New energy efficiency workforce requirements
Michigan Public Service Commission (MPSC) Authority
- Requires the MPSC to consider climate, equity, and affordability as part of its Integrated Resource Plan (IRP) cases, where the utilities set their long-term power generation plans
- Increased funding to support intervention in MPSC cases, with an emphasis on EJ and community groups
- Guaranteed public meetings for key cases
- A process at the MPSC for how to make the regulatory body more equitable and accessible in the future
NRDC (Natural Resources Defense Council) is an international nonprofit environmental organization with more than 3 million members and online activists. Since 1970, our lawyers, scientists, and other environmental specialists have worked to protect the world's natural resources, public health, and the environment. NRDC has offices in New York City, Washington, D.C., Los Angeles, San Francisco, Chicago, Bozeman, MT, and Beijing. Visit us at www.nrdc.org and follow us on Twitter @NRDC.