NESSEL

MARQUETTE — Semco customers will see a $3.72 increase per dekatherm, a unit used to measure natural gas, following a settlement agreement approved by the Michigan Public Service Commission on Oct. 17.

The increase, which is expected to be implemented in November, reflects the company’s gas cost recovery plan for the period of April 2019 to March 2020, according to case documents on the MPSC website.

Attorney General Dana Nessel intervened in the case in January, according to a release issued Wednesday, “challenging the costs of Semco’s plan, its recovery period and method, and the economic benefit for one of the three interconnections.”

“Semco’s plan unfairly shifted the costs of its natural gas system expansion onto the backs of its residential and small business customers,” Nessel said. “The Department of Michigan Attorney General will use every available resource to protect residential utility customers and their savings — especially as we head into the winter heating months.”

The settlement, according to Nessel’s release, represents $3.6 million in utility rate relief for Semco’s residential customers.

As part of the settlement, MPSC documents show, the company has withdrawn a proposal for a Great Lakes Gas Transmission Co.-Naubinway interconnection, and agrees not to object in a rate case currently before the MPSC regarding the Marquette Connector Pipeline, which could raise customer rates by $4 per month.

The Marquette Connector Pipeline consists of 36 miles of 20-inch-diameter pipeline running from Arnold to near Eagle Mills in Negaunee Township and 6.4 miles of 10-inch-diameter pipe running from Eagle Mills into Marquette with a capacity of 144 million cubic feet per day.

The pipeline project would connect the existing Northern Natural Gas network, which serves Marquette and areas west of the city, with the Great Lakes Transmission Co. system, which runs along the southern edge of the Upper Peninsula.

Lisa Bowers can be reached at 906-228-2500, ext. 242.