As part of his campaign for the Republican nomination for Michigan governor, former state House Speaker Tom Leonard has released an outline for regulating the state's utilities that he said is meant to prioritize families over companies.
Leonard said Michigan residents pay some of the highest utility rates in the Midwest, but have weak reliability, frequent electrical outages, delayed power restorations, and rising bills.
“Everywhere I travel across the state, this is one of the biggest issues that I hear about are people's rising rates,” Leonard said. “So we need a bold reform that's actually going to make some serious changes.”
Leonard said his plan is meant to reshape the Michigan Public Service Commission, because “unelected appointed bureaucrats are making these decisions" about renewable energy installations, utility rates, and compensation for extended power outages.
Leonard's reform agenda includes expanding the MPSC from 3 to 5 members and diluting the governor's power in appointing them, banning ex-parte decisions like the one that led to the conditional approval of a massive data center in Saline Township, and repealing the state law that can allow the commission to permit renewable energy projects over local objections.
Leonard has also called for an end to Michigan's renewable energy plan that calls for the state to reach 100% carbon neutrality by 2050. The plan's architects say it's key to mitigating and preparing for climate change.
Charlotte Jameson is the chief policy officer for the Michigan Environmental Council. She, like Leonard, said that energy affordability is a critical issue in Michigan. But she said the part of his plan focused on repealing green energy laws will exacerbate the problem.
Jameson said it’s a “glaring omission” that the plan does not say anything about the Trump administration's expensive effort to keep a Michigan coal plant running after its planned retirement.
“Renewable energy is the most affordable form of energy right now, and energy waste reduction is incredibly cheap and saves us billions of dollars every year,” she said. “Repealing those clean energy provisions are just going to drive up rates further.”
Leonard said the plan is meant to give residents and small businesses more choice. “They're stuck with the utility that is in the region that they live, and that's wrong. People need more choice and competition,” Leonard said. “I believe that it will bring more accountability, and I believe that it will ultimately lower rates in the state of Michigan.”
He added that local communities should have the final say in land use and zoning approvals or denials, not the MPSC.
“The goal here through this proposal is to basically upend the system to make certain that the rate-payers are being looked out for,” Leonard concluded.
