Michigan electricity providers remain at or near the 10% statutory cap in 2025 in the state’s electric choice program, according to the annual report by the Michigan Public Service Commission. Under PA 286 of 2008, electric choice is limited to 10% of a utility’s average weather-adjusted retail sales for the preceding calendar year.
Key Points:
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- The number of customers participating grew slightly in 2025 to 5,517 from 5,514 in 2024.
- Nearly all choice participants are commercial or industrial customers, from large manufacturers to retailers, restaurants, health care facilities, and school systems.
- Electric demand in the choice program came in at 2,172 megawatts (MW) last year, down 15 MW from 2,187 MW in 2024.
Market:
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- Michigan opened its utility service market to competition through the Customer Choice and Electricity Reliability Act of 2000.
- The law permits up to 10% of retail electric sales to be purchased from an alternative electric supplier (AES).
- The number of licensed AESs in Michigan stood at 25 as of December 2025.
- Approximately 5,101 customers are in the queue of those interested in participating in the program if space becomes available under the 10% cap.
- Michigan is one of 20 jurisdictions that had a form of restructured retail electric market in 2025.
Please click here to view the MPSC’s annual Status of Electric Competition report.
