LANSING – Though the actual weather will determine whether residents spend more or less on their heating, they will pay some 12 percent less per unit of natural gas and 0.8 percent less for electricity than they did last winter, the Public Service Commission said in its annual Michigan Energy Appraisal. Those using heating oil are already paying some 16 percent less than last year.
But those having trouble paying those bills will have more leeway from utilities under an agreement announced Monday.
The commission expected there would be sufficient fuel supply, from all sources, to get residents through the coming winter and to keep prices below the hurricane-induced spikes of last winter.
Though prices for fuels will be lower, the PSC warned in its report that last winter was warmer than expected and much of the savings could be absorbed by heating needs of a return to colder temperatures. But it also acknowledged the National Weather Service was predicting another warm winter.
For low-income residents having difficulties paying their heat bills, the commission announced an expansion of the Winter Protection Plan in place last year. The new voluntary agreement with utilities allows shut-off protection for those earning 200 percent or less of poverty, up from 150 percent last year. The protection also is expended beyond the statutory December 1-March 31 period to include the month of November.
Those qualifying for the program would be able to pay a lesser amount of their estimated annual bill, 6 percent instead of 7 percent, and would have at least 20 days rather than 17 to pay it.
The agreement also reduces the cap on residential customer deposits and creates a deposit cap for small commercial customers.
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