No subsidy for rooftop solar means DTE, Consumers Energy should drop opposition to bill

Utilities stand in the way of removing Michigan’s arbitrary 1% cap on rooftop solar for homes, businesses

LANSING, Mich. – Michigan’s major utilities have lost their main argument for removing the state’s arbitrary 1% cap on affordable, reliable rooftop solar. Michigan Public Service Commission staff confirmed today at a Senate Energy and Technology Committee hearing what the Michigan League of Conservation Voters and other groups have said all along – there is no subsidy for solar customers coming from non-solar customers.

While opposing House Bill 4236, the utilities have incorrectly claimed there is a cost shift between customers who choose to install rooftop solar and those who don’t. The bill has stalled in Rep. Joe Bellino’s House Energy Committee amid utility opposition, despite bi-partisan sponsorship and the majority of committee members supporting the bill.  

“The main argument standing in the way of affordable, reliable clean energy has once again been proven false by the Michigan Public Service Commission,” said Bob Allison, deputy director for the Michigan League of Conservation Voters. “Our major utilities must acknowledge they incorrectly claimed there was a subsidy, which they used as one of their many tactics to maintain the status quo. It’s now time for lawmakers to pass this bill so Michigan residents can benefit from solar energy – lowering monthly energy costs, creating jobs, and increasing reliability.”

The Senate Energy and Technology Committee met today to discuss a draft report released by the Michigan Public Service Commission set to address inaccurate claims that rooftop solar users are subsidized by residential ratepayers. During the hearing, Michigan Public Service Commission Chief Operating Officer Mike Byrne confirmed there is no cost shifting from solar users to non-solar users.

The full draft report can be found here.