Summer Rate Ensures a Cleaner Future
The Summer Rate ensures a cleaner energy future and encourages you to take advantage of lower-cost electricity available at certain times of the day.
Most customers will only see a small increase in their monthly bill, without changing when or how they use electricity.
What is the Summer Rate?
With this rate, when you use electricity can be just as important as how much you use.
The Summer Rate runs from June 1 through September 30. This period consists of “on-peak” and “off-peak” rate prices:
We’re encouraging customers to save money by reducing electricity use during this on-peak time, or shifting use to mornings, nights and weekends.
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The rate during the summer months (June 1 through September 30) is $0.22/kWh on weekdays from 2pm to 7pm. For all other times of the day, and on weekends, the rate is $0.17/kWh. During non-summer months there is a flat rate of $0.17/kWh*.
* Prices per kilowatt hour are rounded to the nearest tenth of a cent. Rates shown do not include applicable surcharges or taxes. Rates may change by Michigan Public Service Commission Order.
As temperatures rise in the summer, so does the demand on the electric grid. With increased demand comes an increase in cost. That’s why on weekdays from 2 pm to 7 pm, June to September, electric rates will be higher – and we encourage you to take advantage of lower-cost energy available at other times of day (“off-peak”).
You will be charged a flat rate (the same structure as today) for all other months (October to May).
The Summer Rate only applies to the residential 1001 rate. Most businesses are not on the residential rate, and therefore will not be included. However, in some cases businesses have accounts on residential rates. You can check monthly billing statements to see if your account is on the Summer Rate.
Peak Power Savers programs take precedent over the Summer Rate during Demand Response Event Days only (which you will be notified of). Outside of the event days, the rate prices from the Summer Rate will still be in effect. You will continue to receive your annual rebates from your Peak Power Savers Program.
No action is needed on your part. The Summer Rate is not an optional program, and you don’t have to sign up. If we notified you, you will be automatically transitioned to the updated rate on June 1. Check your bill for rate code 1001 to confirm. If you have a different rate code, the transition will not impact you.
No, Consumers Energy is not collecting more money under this rate structure. Some customers may pay less on their bills while others may pay more, but we do not anticipate an increase in overall revenue.