BY JENNIFER WEINGART
Electricity rates for Michigan residents who get their power from Consumers Energy increased effective Thursday.
The utility had first requested this current rate hike in September of 2012.
This week's approval by the Michigan Public Service Commission will generate an additional $89 million per year which Consumers said is needed to pay for increased production and transmission costs.
An average residential customer using 500 kilowatt-hours will see a monthly increase of $1.67.
Judy Palnau is a spokesperson for the MPSC.
"In their filing with the commission noted several reasons for needing additional money and everything from improving their operations and maintenance to improving the system so it is more reliable as it provides electric service to customers to complying with environmental laws." Palnau said.
Palneau said the approved increase represents sixty percent of Consumers request from last year.
Consumers provides power to six point eight million Michigan residents.