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Petoskey joins MPPA program to implement state energy‑efficiency mandates through 2029
Summary
Council authorized the City to join the Michigan Public Power Agency (MPPA) and its selected vendor, Franklin Energy, to implement the state’s Clean and Renewable Energy and Energy Waste Reduction Act (PA 229) for 2026–2029; the program is funded by a small surcharge on electric bills and passed 5–0.
Petoskey’s electric utility will continue its energy optimization efforts under a multi‑year agreement with the Michigan Public Power Agency (MPPA) and Franklin Energy after council approved a resolution on Sept. 15 to participate in the MPPA program for fiscal years 2026–2029.
Director of Public Works/Electric Jason Fait summarized the city’s history with energy efficiency programs (since 2009) and explained that recent state law (PA 229) raised performance targets, which requires a more robust program. The MPPA issued a request for proposals and selected Franklin Energy to implement the program on members’ behalf.
Funding and scope: The program is funded through a utility surcharge based on customer kilowatt‑hour usage and meter fees for commercial customers; Fait said the program has historically been self‑supporting. Because the new statutory target is higher, the city will evaluate surcharge levels as part of its ongoing rate study.
Council action: Councilmember Walker moved to adopt the resolution authorizing the city to enter the MPPA participation agreement; Councilmember Shields seconded. The resolution passed 5–0.
Implementation: The vendor is expected to deliver programs focused on electrification, heat pumps, weatherization and other demand‑reduction measures. Fait said many simple lighting measures have already been completed over the past decade, so the program will target higher‑value electrification projects.
