The Michigan Hydro Relicencing Coalition* opposes a plan by Consumers Energy to sell 13 hydropower projects for $1 each, and then enter into a 30-year power purchase agreement with the buyers. Here’s why:
- Consumers Energy will be able to pass along the cost of the power purchase agreements to its ratepayers.
- The new owners will have no incentive to make long-term investments in the dams, as cost-recovery mechanisms will not be available to them as they are to Consumers Energy.
- By selling the dams, Consumers Energy is washing its hands of its corporate responsibility to several Michigan communities.
- 6 of the 13 hydropower projects do not meet water quality standards for temperature during the summer months, casting future relicensing in doubt.
- Tribes are the longest-standing community members associated with the river systems. Any proposed sales needs to respect and honor Tribal concerns.
- There’s a danger that profits may get put over regulatory compliance and safety. Even under private ownership, catastrophic dam failures such as those in Edenville and Sanford too often become the taxpayer’s burden.
Now is the time to tell Consumers Energy to honor its responsibility to Michigan communities, and keep ownership of its hydropower projects. Email CEO Garrick Rochow (garrick.rochow@cmsenergy.com) and VP of Community Affairs Angela Thompkins (angela.thompkins@cmsenergy.com) and make your voice heard.
*The Michigan Hydro Relicensing Coalition members include Michigan United Conservation Clubs (MUCC), Michigan Council of Trout Unlimited, Great Lakes Council of Fly Fishers International, Anglers of the Au Sable, and Michigan Steelhead and Salmon Fishermen’s Association.
