2003 Senate Bill 612 / 2004 Public Act 88

Allow utilities to compete in appliance repair

Introduced in the Senate

July 15, 2003

Introduced by Sen. Laura Toy (R-6)

To waive certain “code of conduct” restrictions on utilities (gas and electric companies) which offer appliance and heating/cooling system repair and service in competition with non-utility service providers, if the utility controls less than 30 percent of the repair and servicing market in the area. Utilities would still be prohibited from inserting ads for the service in customer utility bills, or cross-subsidizing the service with regulated utility service revenues. Without this bill, recent Michigan Public Service Commission regulations could force utilities, specifically Consumers Energy, to stop offering this service.

Referred to the Committee on Technology and Energy

Oct. 28, 2003

Reported without amendment

With the recommendation that the bill pass.

Oct. 30, 2003

Passed in the Senate 33 to 4 (details)

Received in the House

Oct. 30, 2003

Referred to the Committee on Energy and Technology

March 25, 2004

Reported without amendment

With the recommendation that the substitute (H-1) be adopted and that the bill then pass.

Substitute offered

To replace the previous version of the bill with one that narrows its scope to effectively apply solely to an appliance service program operated by Consumers Energy. See House-passed bill for details.

The substitute passed by voice vote

Passed in the House 104 to 0 (details)

To waive certain “code of conduct” restrictions and allow an electric utility that offers an appliance service program in competition with non-utility service providers, if the utility maintains administrative separation between the program and the regulated utility functions of the company. The bill would require separate books and records for the program, and would prohibit inserting ads for the service in customer utility bills, or cross-subsidizing the service with regulated utility service revenues. It contains regulations on the operation of such a program. Without this bill, recent Michigan Public Service Commission regulations could force utilities, specifically Consumers Energy, to stop offering this service.

Received in the Senate

March 30, 2004

April 1, 2004

Passed in the Senate 33 to 4 (details)

To concur with the House-passed version of the bill, which narrows its scope to effectively apply solely to an appliance service program operated by Consumers Energy.

Signed by Gov. Jennifer Granholm

April 22, 2004