Michigan Residents Will Receive More Money Back For Power Outages

Power outages in Michigan can leave residents with big problems that could cost them financially. And the expenses can add up when homes are without power for several days. But now utility companies will have to reimburse their customers with more money for lengthy power outages.

Michigan Residents Will Receive More Money Back For Power Outages

Michigan's utility companies face new requirements to compensate customers who have to sit in the dark for days due to power outages. In 2023, the Michigan Public Service Commission (MPSC) ordered utilities to pay their customers more for prolonged and repeated outages. The Commission last raised the credit to $38 in September 2023. And customers will now receive more money back in their pocket.

Michigan residents are eligible for an outage credit of $40 each day the power is out or repeatedly interrupted. The credit is automatically applied to the accounts of customers whose outages meet thresholds for the credits, so customers no longer have to request the credit from their utility. According to a statement from the MPSC, the raise aims to help customers, improve reliability, and shorten the length of outages:

“We understand that the outage credit won’t cover everything lost when the power goes out, but the credit will help customers while encouraging utilities to do all they can to restore service quickly,” MPSC Chair Dan Scripps said. "The credits are one tool the MPSC is using to encourage utilities to improve the power grid to better withstand increasingly frequent extreme weather and restore power as rapidly as possible after outages.”

Customers can call their utility or the MPSC with questions about outage credits.

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