Compete to Succeed 15
Policy principles to support a competitive manufacturing sector . Michigan must :
■ Ensure energy costs do not hinder the manufacturing sector ’ s global competitiveness .
■ Require all capacity resources be compared against each other to achieve both reliability and cost-effectiveness .
■ Support and defend the cost-of-service rates by rate class policy .
■ Oppose cost shifts to industrial ratepayers .
■ Support the operation and development of energy pipelines .
■ Value reliability and pricing as equally critical to competitiveness .
■ Enable efficient and effective demand response programs to serve load and balance implementation costs with reliability while anticipating demand growth in the future .
■ Support the development and use of hydrogen as an alternative fuel source for utility , transportation and other uses .
■ Support and defend the use of natural gas as a critical energy source and competitive advantage for Michigan over other states with our storage capacity and access to natural gas .
■ Maintain a 10 % electric choice market to enhance opportunities for competitiveness .
■ Ensure generation capacity and grid infrastructure to address increased future demand in the transition to electric vehicles .
■ Preserve right for industrial self-generation .
■ As generation portfolios change to address carbon reduction , leaders must monitor reserve margins to ensure reliability and communicate to potential new manufacturing investors that Michigan provides a robust energy infrastructure ready for investment and economic growth .
■ Reduce regulatory and permitting burden on siting energy infrastructure .
Specific Actions for Leaders :
■ Preserve 10 % of the electric market for choice opportunities for those currently in the choice market and those in the queue seeking to access the choice market .
■ Oppose expansion of any mandatory Renewable Energy Portfolio Standard .
■ Support energy solutions in the Upper Peninsula .
■ Support shale gas development .
■ Compare energy resources against each other for price and reliability in a cost-benefit comparison , including energy waste reduction , renewable sources , gas , coal , nuclear or any other source .
■ Support a competitive environment using the most reasonable and prudent standard in comparing costs with utilities as adopted in 2016 .
■ Support MISO Zone 7 import / export transmission capacity project ( s ) to increase ability to address localized intermittency on the grid and minimize costly service interruptions for customers if the project ( s ) are determined to be cost-effective through MISO ’ s Michigan Expansion Transmission Project process .
■ Support policies that make it easier for manufacturers to install and use self-generation and cogeneration .
■ Support public-private partnerships that increase competitiveness from Michigan companies .
■ Monitor and urge a review of the demand response notification window as provided through the MISO Business Practice Manual and advocate for changes as applicable to assure system reliability , sufficient notification and appropriate compensation .
■ Encourage utilities to incorporate real-time economic signals into demand response programs which enable manufacturers to curtail production and avoid emergency operations altogether .
■ Explore potential options for greater use of combined heat and power .
■ Ensure costs for distributed generation are not shifted to other ratepayers .
■ Ensure rates in PURPA contracts reflect the appropriate avoided costs to utilities .
■ Support the continued development of the Line 5 Tunnel .
■ Block efforts to prohibit the installation or use of natural gas by state or local units of government .
■ Support and defend the use of natural gas as critical energy source and competitive advantage for Michigan .
■ Establish polices that incentivize and create a predictable regulatory approval process for energy resources .
■ Support opportunities to increase import / export transmission capacity to improve both cost and reliability in Michigan . mimfg . org