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MPSC to review UPPCO billing practices

Germfask resident J.D. Livermore, Jr. speaks during the Germfask Energy Town Hall forum Wednesday evening. Concerned parties from both Lansing and Chicago were present at the meeting, which covered a number of energy topics, including a decision Wednesday by the Michigan Public Service Commission to review the billing practices of the Upper Peninsula Power Co. (Journal photo by Mary Wardell)

GERMFASK — Dozens of people gathered Wednesday evening in Germfask for a third energy town hall in two years, still angry at what they say are excessive and unfair rates, but with something to celebrate this time.

The Michigan Public Service Commission issued a decision Wednesday afternoon on the request by Upper Peninsula Power Co. for a two-year extension of its meter-reading waivers, a filing UPPCO said was routine and meant to save ratepayers approximately $914,000 in increased costs.

A significant number of UPPCO customers filed comments on the request, alleging unfair billing practices and calling for an investigation.

These comments led the commission to direct its staff to review the utility’s estimated billing practices to ensure accuracy, according to the MPSC decision. The staff will submit a report of its findings in 90 days.

The commission also granted the requested waiver extension, but for only one year.

UPPCO, based in Marquette, serves municipalities in 10 Upper Peninsula counties.

The filing was submitted Sept. 21 and UPPCO’s current waiver was due to expire the end of this month. The waivers are for rules that require the utility to provide its customers with actual monthly meter reads. They had previously been extended in September 2015.

According to UPPCO’s filing, the utility reads a majority of its residential and non-residential customers’ meters on a bi-monthly basis and estimates bills for the months when meters are not actually read.

Customers in Germfask and nearby townships have tried to leave UPPCO to join the nearby Cloverland Electric Cooperative for its lower rates, but have not been able to do so, residents stated at the meeting.

John Liskey — counsel for the Lansing-based non-profit Citizens Against Rate Excess, a utility watchdog organization — said ratepayers can thank Gary Talarico, a Germfask resident who has taken on the role of consumer energy advocate, for the commission’s decision.

“Gary gave me credit for this billing services decision today. It’s really Gary,” Liskey said. “He launched a petition drive and email campaign, and over 50 people filed emailed comments about the billing problems they’ve had with UPPCO. And the commission came out today referencing those public comments.”

Liskey, who formerly worked in the utility law special litigation division of the Michigan Attorney General’s office, founded the non-profit corporation to fight utility rate increases in the Upper Peninsula and other areas of the state that are traditionally without ratepayer representation.

Liskey encouraged town hall attendees to remain active.

“That’s what you guys can do, just keep up the pressure,” Liskey said. “Keep filing your comments, emailing your comments (and) sending letters.”

Talarico said what motivates him are the effects high rates are having on people in Germfask and around the U.P.

“I moved up here 10 years ago thinking this is where I want to spend the rest of my life, because I’ve always loved it here,” Talarico said. “And UPPCO electric rates are forcing me to reconsider whether I can live my dream.”

Executives from GlidePath advanced energy solutions traveled from Chicago to attend the town hall forum.

GlidePath Chief Operating Officer Chris McKissack said they formed the business four to five years ago to develop microgrids and distributed energy generation with an emphasis on renewable energy, after observing that the “traditional utility model is breaking apart.”

McKissack said they’ve bumped up against the same regulatory push-back and said the industry needs competition to drive costs down.

“That’s our objective here is to really understand the infrastructure, understand the issues you guys are facing, go to the drawing board and try to come up with a proposal that is more resilient, better service (and) cheaper service,” McKissack said. “We are really here to learn how we can provide a solution that is possible.”

Germfask resident Diann Bowler spoke up to thank GlidePath, Liskey, Talarico and others for their efforts.

“I really appreciate where we are right now,” Bowler said. “We’ve gained something, we’re not hearing the same rhetoric that we’ve heard for the last two meetings. We’re here hearing people talk about things that very possibly could happen.”

She said anger has been replaced with hope that they could become energy independent.

“From Chicago they came! My goodness they’re serious about this,” Bowler said to enthusiastic applause. “I just want to say we’re going to keep pushing, … and we’re not afraid to be stubborn Germfask Yoopers.”

Jenn Hill, independent energy consultant, said what’s happening in Germfask is representative of the bigger challenges across the energy landscape, which impact jobs, housing and more.

“I personally got involved because it’s just so clear to me that these energy questions are core to our economics here,” Hill said.

Officials from UPPCO could not be reached for comment by press time.

Mary Wardell can be reached at 906-228-2500, ext. 248. Her email address is mwardell@miningjournal.net.

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