LANSING, Mich., Dec. 10 /PRNewswire/ –Attorney General Mike Cox yesterday
filed a motion requesting the Michigan Public Service Commission to dismiss a
pending case in which The Detroit Edison Company requests a rate increase
totaling over $100 million.
On November 23rd, the Michigan Public Service Commission (MPSC) issued an
order that raised rates for Detroit Edison by $335 million per year. Detroit
Edison already had another case pending in which they asked the Commission to
raise its power supply rates by over $100 million for 2005.
“I take seriously the obligation to protect consumers from unnecessary
rate increases,” Cox said. “The motion I filed yesterday urges the Commission
to deny this second increase.”
In the November 23rd order, the Commission set a new power supply cost
rate, and under the applicable statute, that rate is supposed to stay in
effect for 48 months or at least until the Commission reviews the next rate
case for Detroit Edison. The Attorney General’s motion asks the Commission to
comply with the statute by dismissing the pending case.
“My office expects Detroit Edison to file a new rate case already next
year, so I believe it is not fair to add a $100 million increase to the burden
customers will shoulder,” Cox said.
Cox’s office worked for nearly two years to reduce the $335 million per
year rate increase. Department attorneys participated in persuading the MPSC
to issue a December 2003 order reinstating Detroit Edison’s power supply cost
recovery clause, which had the effect of reducing the Commission’s interim and
final rate increases. Attorneys also sponsored expert testimony in both
phases of the case, and filed four briefs, written exceptions to the proposal
for decision, and written replies to other parties’ exceptions.
Web Site: http://www.michigan.gov/ag
