MPSC Unanimously Approves Reliability Framework

LANSING — The Michigan Public Service Commission adopted a comprehensive framework on April 30 to improve electric grid reliability and resilience, requiring utilities to adopt emerging national metrics and explore undergrounding projects as part of efforts to reduce outages following severe storms.

The commission unanimously approved recommendations from MPSC staff that would require Consumers Energy, DTE Electric and Indiana Michigan Power to work with the commission to define data points for two emerging resilience metrics developed by the IEEE Distribution Resilience Taskforce. These metrics include the Sustained Interruption Reduction Index and the Restoration Effectiveness Plus Area Index Resilience.

The requirement positions Michigan to be among the first states nationally to adopt resilience-oriented metrics once the IEEE standards are finalized, said Commission Chair Daniel C. Scripps.

The commission found that utilities proposing undergrounding projects should present thorough justification on a project-specific basis, demonstrating that undergrounding is the most cost-effective means to achieve reliability and resilience improvements rather than treating it as a default strategy.

660 MW Battery Storage Approved for DTE Electric

In a related action, the commission approved tolling agreements and self-build arrangements authorizing DTE Electric to construct and procure 660 megawatts of new battery storage capacity. The approvals cover four projects: the 75 MW Coldwater River Storage Project, the 100 MW Tuscola II Energy Storage Project, the 190 MW Isabella Energy Center, and the 295 MW Meridian Energy Center.

Separately, the commission granted approval for a replacement equipment supply agreement between DTE Electric and LG Energy Solution Vertech for the 220 MW Trenton Channel Energy Center, which is being constructed on the site of a retired DTE coal plant. The replacement agreement is expected to reduce project costs by more than $30 million.

Competitive Procurement Guidelines Under Review

The commission directed staff to convene a workgroup within 60 days to revise the competitive procurement guidelines for rate-regulated utilities. The review is intended to ensure fair consideration of third-party renewable energy developers under Michigan's clean energy statute.

Commissioner Katherine L. Peretick said the review is intended in part to address fair consideration of third-party renewable developers. The commission first updated competitive bidding rules in 2021 to encourage fair, transparent and nondiscriminatory processes for utilities to use when soliciting competitive bids for new energy resources.

Advanced Metering Infrastructure Conference Scheduled

The commission also opened a docket and directed staff to convene a technical conference within 90 days on the future implementation of advanced metering infrastructure such as smart meters. The conference will examine the value realized from existing AMI investments and the missed opportunities.

Staff is directed to file a report by August 31, 2026.

Distribution System Plans for Northern Utilities

In a related action, the commission provided guidance to Alpena Power Co., Northern States Power Co. and Upper Peninsula Power Co. on their next distribution system plans. The commission called on the utilities to move from descriptive filings to data-driven analytical documents that demonstrate clear connections between investments and outcomes.

The MPSC launched efforts to improve grid reliability in April 2023 after a series of severe storms that spring. The effort included a technical workshop in September and October 2025 on the costs and benefits of moving overhead electric wires underground, and included feedback received at a May 2025 public hearing in Gaylord following an ice storm that left tens of thousands of northern Michigan residents without power.