September 26, 2013, Introduced by Reps. Stamas, Cotter, O'Brien, Lund, LaFontaine, Foster, Johnson, Schmidt, Glardon, Kelly, Walsh, Brown, Price, Lauwers, Jacobsen and Farrington and referred to the Committee on Energy and Technology.
A bill to amend 2010 PA 297, entitled
"Energy for economic development act of 2010,"
by amending section 5 (MCL 460.995).
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 5. (1) If an electric utility has executed a written
contract with an industrial customer providing for an increase in
connected load at a single premises of at least 70,200,000 kilowatt
hours over 12 consecutive months pursuant to an economic
development tariff provision approved by the commission as of
October 6, 2008, the commission shall not take any action that
would alter the rates, terms, conditions, duration, or
enforceability of that tariff. Such prohibited actions include, but
are not limited to, an order that would eliminate, phase out, or
otherwise modify the economic development tariff provision in a
manner that would allow or require an electric utility to alter the
rates, terms, conditions, duration, or enforceability of a contract
entered into pursuant to the economic development tariff.
(2) If an electric utility has executed a written contract
with a customer as described in subsection (1), that electric
utility and customer have the right to negotiate a new contract to
provide the customer with the same or similar rate for all of that
customer's load following the expiration of the initial contract.
The commission shall not take any action that would disapprove,
modify, or otherwise limit the enforceability of that contract.
(3) (2)
If an electric utility has executed
a written contract
with a customer as described in subsection (1) or subsection (2),
the
commission shall, after the effective date of this act,
December 16, 2010, allow the utility to fully recover in a general
rate case using a projected test year from all of its other
electric ratepayers in all classes the full amount of the
difference, if any, between the total projected revenue pursuant to
the economic development tariff or new contract and the utility's
cost to provide service to that customer pursuant to the economic
development tariff or new contract, both as determined by the
commission using the method in the most recent general rate case
for the utility. The utility's recovery of that difference shall be
based on the cost allocation method identified in section 11(1) of
1939 PA 3, MCL 460.11.
(4) (3)
If there is a conflict between this
act and any other
act of this state, this act controls.
(4)
This act is repealed effective December 1, 2015.