Michigan House approves temporary carve-outs for Upper Peninsula gas generators
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Summary
The Michigan House passed two bills to delay clean-energy compliance deadlines for Upper Peninsula reciprocating internal combustion engines (RICE units), with supporters citing jobs and grid reliability and opponents warning the measures undercut clean-energy progress and consumer protections.
The Michigan House passed two bills on third reading that amend the Clean and Renewable Energy and Energy Waste Reduction Act to allow Upper Peninsula reciprocating internal combustion engines (RICE units) fueled by natural gas to operate longer while the region transitions to renewable resources.
Supporters said the measures are aimed at protecting mining jobs and grid reliability in a region with limited transmission links to the Lower Peninsula. Representative Andrews, speaking in support, said "there are thousands of jobs that stand to be lost if these generators are shut down" and described the UP as "geographically isolated" and reliant on local generation and Wisconsin imports. Representative Bonak, who introduced House Bill 4007, said the RICE units "went into operation in 2019, powering the grid for a large portion of the Upper Peninsula with reliable dispatchable clean energy" and said keeping them operating to the end of their projected life would avoid economic harm.
Opponents said the bills would weaken the state's clean-energy law and risk higher long-term costs for UP ratepayers. Representative Polchatsky urged a "no" vote and said Michigan's Clean Energy and Jobs Act and the Michigan Public Service Commission (MPSC) already provide tools and forum to address the UP's needs. "The bills before us today do nothing to bring down the costs of UP ratepayers," Polchatsky said, adding the measures could "take away some of the best tools we have to bring more supply and energy options to the Upper Peninsula."
Debate touched on several factual claims and figures. Supporters said the RICE units replaced two coal plants and cut carbon dioxide emissions by about 71%. Sponsors also argued that surcharges under the 2023 energy law could leave large industrial customers such as the Tilden Mine facing steep monthly charges if the RICE units were prematurely retired. Opponents countered that the MPSC has authority to grant exemptions or extensions and warned that legislative action taken before the regulatory process concludes risks unintended consequences.
On final passage, the clerk announced House Bill 4007 passed 82 yeas to 27 nays. The House subsequently ordered immediate effect. House Bill 4283 passed 83 yeas to 26 nays and was also given immediate effect.
The votes mark a legislative response to the Upper Peninsula's distinct energy and economic profile; they do not themselves change regulatory authority at the MPSC nor detail specific surcharge calculations, which remain matters described by witnesses and stakeholders in testimony and filings outside the House session.
