MPSC approves experimental plug-in vehicle rates for Detroit Edison

Source: Michigan Public Service Commission

The Michigan Public Service Commission (MPSC) approved an experimental electric vehicle tariff (rate) for The Detroit Edison Company, making it the first utility in Michigan to offer specific rates for electric vehicles for residential customers.

"As manufacturers begin to sell plug-in electric vehicles, it is important that Michigan's electric utilities be ready as well," said MPSC Chairman Orjiakor Isiogu. "The program approved today will help Detroit Edison evaluate the effect of electric vehicles on its electric system, offers off-peak rates that customers can use to charge vehicles, and offers the infrastructure required to charge these vehicles."

In its application, Detroit Edison proposed to make this experimental electric tariff available on an optional basis to a maximum of 2,500 residential customers seeking separately-metered service for the sole purpose of charging licensed electric vehicles.

Most customers enrolled for service under this tariff will receive a separate meter that is capable of recording the energy used to charge the electric vehicles and the time of day that the charging occurs. Eligible customers will be provided two rate options: one that provides a lower rate for charging during off-peak hours (hours other than between 9 a.m. and 11 p.m. Monday through Friday) and another that provides for a monthly flat fee of $40 per vehicle.

The utility's experimental tariff will run through Dec. 31, 2012. Detroit Edison will, at the customer's option, fund up to $2,500 for the separately metered circuit including the approved charging station; or if the approved charging station is provided by the manufacturer, Detroit Edison will fund up to $2,500 for the separately metered circuit and the installation of the charging station. Customers who opt for this equipment will be required to execute an agreement with the company that specifies terms and conditions regarding the use of such equipment.

The tariff is approved for service rendered on and after Aug. 11.

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