Senate Bill 1362 Summary

• Allows industrial electricity consumers with at least 150 megawatts of electric load and at least 100 megawatts of installed or under-construction electrical generation facilities to purchase electricity from alternative electric suppliers instead of traditional utilities.

• Eliminates the utility's obligation to maintain reserve capacity for the portion of load served by alternative suppliers.

• Requires utilities to adjust distribution charges so industrial consumers who paid for distribution facilities are not charged again for utility use of those facilities.

• Reduces distribution charges to reflect only direct costs when utilities deliver alternative supplier electricity at 138 kilovolts or greater from the transmission grid.

• Grants the Michigan Public Service Commission authority to enforce the act, which supersedes any conflicting state law.