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Last updated on May 20 at 10:19 am
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Reader Comments
Please, no posting of links or URLs in the comment area. This area is for your commentary, links will be deleted from posts. Comments are moderated on a daily basis.I fail to see how this is fair. Hope it gets shot down, but unlikely.
What people might not realize is that Great Lakes Energy became "Member Regulated" in 2012 and therefore does not have to have State approval for rate hikes as they had to do in 2011 when they sought and received 2 rate increases/restructures. The 2.87% increase in 2011 was supposed to generate an additional $4 million. Fixed meter rates have gone from $12 in 2010 to $18 in 2011. This new proposed increase is almost triple what the rate was in 2010. Details of the current proposed increase/restructure was not released to members until just a few weeks ago - leaving little time for them to research and contact their board members to let them know how they feel. Electric customers, unlike other utilities such as TV, cell phone, Internet, etc., are essentially held prisoners by their electric company with no choice of service providers. This is the same company who waged a successful campaign against Proposal 3 last fall, using the dreaded "rate increase" as a scare tactic - what they didn't tell members, is that the increase would have been limited to 1%/year. Now its 2013 and they're proposing a 78% increase in fixed rate charges. The only customers who will not see an increase are those using over 810 kWh/mo. (Average Michigan residential customer uses 689 kWh/mo - US Energy Information Administration 12/6/11)
Thanks for sharing the Facts JC, I am surprised there is no outrage over this shady deal. But as you mentioned they planed it with little public notice. Also with all the advertising dollars that Great Lakes Energy spends with the Media (Ch. 7 School Closings comes to mind) its probably in their best financial interests to not rock the boat.
Update March 22, 2013 - From the Great Lakes Energy Website: "The Great Lakes Energy board of directors unanimously approved the residential rate restructuring proposal at a special meeting held today . . . Rate changes will take effect for billings rendered on or after Sept. 1, 2013." So much for even one director considering the adverse effect this will be on fixed or low income small households.. The annual elections for the board are held in July/August each year - customers will not see the impact of this vote until AFTER the election/re-election of board members.
The rate changes will inordinately affect people with lower incomes more dramatically, who often use less than the average rate of kWh/mo. Boo, GLE, bills should be based mostly on user-fees not fixed charges.



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