|Laura Chappelle, Chairman || Mary Jo Kunkle|
|David A. Svanda || 517-241-3323|
|Robert B. Nelson|| |
LANSING, November 20. The Michigan Public Service Commission today
moved forward in its efforts to implement the Customer Choice and Electricity
Reliability Act of 2000, closing the dockets filed by Consumers Energy Company,
The Detroit Edison Company, Great Lakes Energy Cooperative and Indiana Michigan
Power Company to increase available transmission capacity by at least 2,000
megawatts (MW) over January 1, 2000 capacity. The plans, filed on December 28,
2000, identify the additional facilities, the schedule and the costs the
utilities identified as needed to increase available transmission capacity in
compliance with the Act.
Today's Commission order determined that the issues of cost recovery
for the additional transmission capacity should not be addressed at this time.
The Commission concluded that, under the Act, utility companies must first
seek cost recovery through transmission rates approved by the Federal Energy
Regulatory Commission. The Commission further found that, if no Michigan
customers benefit from the upgrades, there may be no basis under the Act to
approve any cost recovery. Finally, the Commission stated that, due to the
uncertainty about whether, when, and how the FERC will provide cost recovery
for any of the utilities, the MPSC is not in a position to set a deadline for
the utilities to file for cost recovery from Michigan retail customers.
MPSC staff, Consumers Energy, Detroit Edison, Great Lakes, I&M, the
Association of Businesses Advocating Tariff Equity, Energy Michigan, Inc.,
Exelon Energy Inc., Midland Cogeneration Venture Limited Partnership, First
Power, L.L.C., PG&E National Energy Group, Dynegy, Inc., and Ontario Power
Generation, Inc. participated in the proceeding.
The MPSC is an agency within the Department of Consumer and Industry Services.
Case No. U-12780, U-12781
November 20, 2001
(MPSC closed the dockets to increase transmission capacity)