The Senate Energy & Technology Committee is holding hearings on SB437, which includes provisions on electric choice. SB437 would require alternative electricity suppliers to bilaterally buy, or own, generation needed to satisfy the Local Clearing Requirement for two years. In the case that the Commission makes a finding that there is not 105% Michigan generation to meet needs, AESs would have to buy ten years of capacity (demonstrate to the Commission that it, "owns or has contractual rights to sufficient dedicated and firm electric generation capacity to meet the equivalent of 100% of its proportional share of the local clearing requirement"). Existing choice customers would be permitted to purchase electricity from an AES, in excess of the 10% cap, for expanded load at the customer's current or new contiguous facilities. The bill also allows electric utilities to offer customers value-added programs and services if such programs or services, "do not harm the public interest by unduly restraining trade or competition in an unregulated market." The full text of Substitute SB437 is available on the NEM Website.

The Board is proposing the readoption of Third Party Supplier (TPS) advertising and marketing regulations adopted to implement statutory requirements enacted through P.L. 2013, c. 263. The regulations proposed to be readopted prohibit, "electric power suppliers, gas suppliers, brokers, energy agents, marketers, private aggregators, sales representatives, and telemarketers," from making false or misleading advertising and marketing claims to potential residential customers. The regulations also prohibit those entities from contacting a potential residential customer by telephone for the purpose of making an unsolicited advertisement or marketing of their services if the entities do not have a preexisting business relationship with the customer and the customer's phone number appears on the "no telemarketing" list maintained by the Division of Consumer Affairs or the FTC's national "do not call" registry. If an entity violates these provisions it must pay to the residential customer, "an amount equal to all charges paid by the residential customer after such violation occurs." Violations of these requirements will also subject these entities to liability for a civil penalty. The Board also has authority to revoke an entity's license for violation of these provisions. Comments on the rule readoption are due by July 1, 2016. The full text of the Proposed Rule Readoption is available on the NEM Website.