HOUSE BILL No. 5530

 

December 4, 2007, Introduced by Reps. Mayes and Accavitti and referred to the Committee on Energy and Technology.

 

     A bill to amend 1939 PA 3, entitled

 

"An act to provide for the regulation and control of public and

certain private utilities and other services affected with a public

interest within this state; to provide for alternative energy

suppliers; to provide for licensing; to include municipally owned

utilities and other providers of energy under certain provisions of

this act; to create a public service commission and to prescribe

and define its powers and duties; to abolish the Michigan public

utilities commission and to confer the powers and duties vested by

law on the public service commission; to provide for the

continuance, transfer, and completion of certain matters and

proceedings; to abolish automatic adjustment clauses; to prohibit

certain rate increases without notice and hearing; to qualify

residential energy conservation programs permitted under state law

for certain federal exemption; to create a fund; to provide for a

restructuring of the manner in which energy is provided in this

state; to encourage the utilization of resource recovery

facilities; to prohibit certain acts and practices of providers of

energy; to allow for the securitization of stranded costs; to

reduce rates; to provide for appeals; to provide appropriations; to

declare the effect and purpose of this act; to prescribe remedies

and penalties; and to repeal acts and parts of acts,"

 

(MCL 460.1 to 460.10cc) by adding section 11.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:


 

     Sec. 11. (1) The commission shall establish a permanent energy

 

forecasting group to be located at Michigan state university,

 

within its institute of public utilities. IPU, Michigan state

 

university's center for economic analysis, and the university of

 

Michigan's research seminar in quantitative economics shall

 

participate in the forecasting group. The commission and IPU shall

 

mutually appoint a director and staff for the forecasting group.

 

The forecasting group may use commission staff if the commission

 

finds it appropriate and economical.

 

     (2) The forecasting group shall be financially supported from

 

funds appropriated to the commission for that purpose.

 

     (3) The forecasting group shall develop and keep current a

 

methodology or methodologies for both of the following:

 

     (a) Forecasting aggregate consumption, supplies, and prices of

 

electricity and alternative energy resources that produce

 

electricity within this state and within this region of the United

 

States.

 

     (b) Measuring the effect of environmental compliance

 

standards, alternative energy resources that produce electricity,

 

and energy efficiency programs on aggregate consumption, supplies,

 

and prices of electricity within this state and within this region

 

of the United States.

 

     (4) In fulfilling its duties under subsection (3), the

 

forecasting group may contract with parties to acquire their

 

services.

 

     (5) In fulfilling its duties under subsection (3), the

 

forecasting group shall solicit the input of the electricity


 

industry, including generators, independent transmission companies,

 

and public utilities, and residential, commercial, and industrial

 

consumers of electricity and alternative energy. The forecasting

 

group may also seek input from relevant regional transmission

 

organizations and other relevant parties.

 

     (6) The commission shall develop and keep current, primarily

 

using the methodology or methodologies developed by the forecasting

 

group, an analysis of the long-range needs for expansion of

 

facilities for the generation, transportation, or transmission of

 

electricity or alternative energy that produces electricity.

 

     (7) As used in this section:

 

     (a) "Alternative energy" means energy generated or released

 

from an alternative energy system, as defined in section 2 of the

 

Michigan next energy authority act, 2002 PA 593, MCL 207.822.

 

     (b) "Commission" means the Michigan public service commission

 

created in section 1.

 

     (c) "Forecasting group" means the energy forecasting group

 

established by the commission under subsection (1).

 

     (d) "IPU" means Michigan state university's institute of

 

public utilities.