MI HB5676

Amends Michigan's Clean, Renewable, and Efficient Energy Act to modify net metering rules for customers with distributed generation systems.

Establishes two credit options for excess electricity delivered to the utility grid: the customer's retail rate or the utility's power supply component of the full retail rate (instead of locational marginal pricing).

Allows electric providers to apply for commission approval of alternative rates that compensate distributed generation customers based on a "distributed generation value methodology" accounting for energy, capacity, transmission/distribution losses, and environmental benefits.

Requires the Public Service Commission to establish the distributed generation value methodology within 180 days and permits electric providers to recalculate alternative rates every 2 years.

Mandates minimum 20-year contracts between utilities and distributed generation owners under alternative rates, with the same per-kilowatt-hour rate paid annually; renewable energy credits belong to the electric provider.