MPSC: Michigan Electric Utilities on Track to Meet Renewable Energy Standard

8 Mar 2011

The Michigan Public Service Commission (MPSC) recently released data showing the progress that Michigan’s electric utilities are making to meet the state’s renewable energy portfolio standard of 10 percent by 2015.  For 2009, Michigan utility providers reported renewable energy data estimates showing that approximately 3.63% of Michigan’s electricity was produced by renewable sources.  Previous data gathered by the MPSC estimated Michigan’s renewable energy percentage was 2.9% in 2007.

In short, the data shows that Michigan utilities are on track to meet the 10% requirement by 2015 (which isn’t terribly surprising since the standard is rather low compared to other states in the region, like Minnesota and Illinois, which are shooting for more than 20 percent by 2025).  The notable part of the report, however, is that the utility companies have been able to ramp up renewable energy use at a lower cost than conventional coal-fired power.  The data show that the cost of power from a new conventional coal-fired plant is $133 per megawatt hour, while average costs for renewable energy are coming in at around $102 for wind and $99 for biomass.

While there is no doubt that electricity will cost more in the future whether from coal, natural gas, nuclear or renewable sources (and few realize that the “renewable energy” charge on their electricity bill has actually been subsiding the mandate), the good news is that renewable energy sources may not be at the cost disadvantage as most previously thought.

Leave a Comment to “MPSC: Michigan Electric Utilities on Track to Meet Renewable Energy Standard”

  1. Arthur Siegal 09. Mar, 2011 at 1:02 pm #

    What’s amazing is that in Europe, they are working on plans to cut GHG by 80% by 2050!!

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