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Consumers Energy Announces New Plan to Continue Upgrading Michigan's Natural Gas System

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Consumers Energy has announced plans to modernize its natural gas system serving over 1.8 million Michigan homes and businesses. The company will replace up to 10,000 vintage service lines and install remote control valves on major pipelines. The upgrade plan includes modernizing gas delivery hubs and pressure regulation facilities within the next decade.

The company has filed a $248 million natural gas rate request with the Michigan Public Service Commission, with potential impact on customer bills starting late 2025. The recently completed Mid-Michigan Pipeline has upgraded hundreds of miles of transmission pipeline system. The modernization project aims to enhance safety, reliability, and environmental sustainability while maintaining costs at less than $3 per day for typical households.

Consumers Energy ha annunciato piani per modernizzare il proprio sistema di gas naturale, che serve oltre 1,8 milioni di abitazioni e attività in Michigan. L'azienda sostituirà fino a 10.000 tubazioni di servizio vintage e installerà valvole di controllo remoto sulle principali condotte. Il piano di aggiornamento include la modernizzazione dei centri di distribuzione del gas e delle strutture di regolazione della pressione nei prossimi dieci anni.

L'azienda ha presentato una richiesta di aumento delle tariffe per gas naturale di 248 milioni di dollari alla Commissione per i Servizi Pubblici del Michigan, che potrebbe influenzare le fatture dei clienti a partire dalla fine del 2025. Il recentemente completato Mid-Michigan Pipeline ha modernizzato centinaia di miglia di sistema di condotte di trasmissione. Il progetto di modernizzazione mira a migliorare la sicurezza, l'affidabilità e la sostenibilità ambientale, mantenendo i costi al di sotto dei 3 dollari al giorno per le famiglie tipiche.

Consumers Energy ha anunciado planes para modernizar su sistema de gas natural que atiende a más de 1.8 millones de hogares y negocios en Michigan. La empresa sustituirá hasta 10,000 líneas de servicio antiguas e instalará válvulas de control remoto en las principales tuberías. El plan de actualización incluye modernizar los centros de entrega de gas y las instalaciones de regulación de presión en la próxima década.

La empresa ha presentado una solicitud de aumento de tarifas de gas natural de 248 millones de dólares ante la Comisión de Servicios Públicos de Michigan, con un potencial impacto en las facturas de los clientes que comenzará a finales de 2025. El recientemente completado Mid-Michigan Pipeline ha mejorado cientos de millas del sistema de tuberías de transmisión. El proyecto de modernización tiene como objetivo mejorar la seguridad, la confiabilidad y la sostenibilidad ambiental, manteniendo los costos por debajo de 3 dólares por día para los hogares típicos.

Consumers Energy는 180만 개 이상의 미시간 가정과 사업체에 서비스를 제공하는 천연 가스 시스템을 현대화할 계획을 발표했습니다. 회사는 최대 10,000개의 오래된 서비스 라인을 교체하고 주요 파이프라인에 원격 제어 밸브를 설치할 것입니다. 이 업그레이드 계획에는 향후 10년 이내에 가스 공급 허브와 압력 조절 시설을 현대화하는 것이 포함됩니다.

회사는 미시간 공공 서비스 위원회에 2억 4,800만 달러의 천연가스 요금 인상 요청을 제출했으며, 이는 2025년 말부터 고객 요금에 잠재적인 영향을 미칠 수 있습니다. 최근 완료된 미시건 중부 파이프라인은 수백 마일의 송유관 시스템을 업그레이드했습니다. 현대화 프로젝트의 목표는 안전성, 신뢰성 및 환경 지속 가능성을 향상시키면서 일반 가정에 대해 하루 3달러 이하의 비용을 유지하는 것입니다.

Consumers Energy a annoncé des plans pour moderniser son système de gaz naturel, qui dessert plus de 1,8 million de foyers et d'entreprises dans le Michigan. L'entreprise remplacera jusqu'à 10 000 anciennes conduites de service et installera des vannes de contrôle à distance sur les principales pipelines. Le plan de mise à niveau prévoit de moderniser les centres de distribution de gaz et les installations de régulation de la pression au cours de la prochaine décennie.

L'entreprise a déposé une demande d'augmentation des tarifs de gaz naturel de 248 millions de dollars auprès de la Commission des services publics du Michigan, avec un impact potentiel sur les factures des clients à partir de la fin de 2025. Le récent pipeline du Michigan central a modernisé des centaines de miles de système de pipeline de transmission. Le projet de modernisation vise à améliorer la sécurité, la fiabilité et la durabilité environnementale tout en maintenant les coûts à moins de 3 dollars par jour pour les ménages typiques.

Consumers Energy hat Pläne bekannt gegeben, sein Erdgasnetz zu modernisieren, das mehr als 1,8 Millionen Haushalte und Unternehmen in Michigan versorgt. Das Unternehmen wird bis zu 10.000 alte Serviceleitungen ersetzen und auf wichtigen Pipelines Fernsteuerungsventile installieren. Der Upgrade-Plan umfasst die Modernisierung der Gaslieferzentren und Druckregulierungseinrichtungen in den nächsten zehn Jahren.

Das Unternehmen hat beim Michigan Public Service Commission einen Antrag auf eine Erhöhung der Erdgaspreise in Höhe von 248 Millionen Dollar eingereicht, was ab Ende 2025 potenzielle Auswirkungen auf die Kundenrechnungen haben könnte. Die kürzlich fertiggestellte Mid-Michigan Pipeline hat Hunderte von Meilen des Übertragungspipelinesystems modernisiert. Das Modernisierungsprojekt zielt darauf ab, die Sicherheit, Zuverlässigkeit und Umweltverträglichkeit zu verbessern, während die Kosten für typische Haushalte unter 3 Dollar pro Tag bleiben.

Positive
  • Comprehensive modernization of natural gas infrastructure serving 1.8 million customers
  • Completed Mid-Michigan Pipeline upgrade enhancing transmission capabilities
  • System improvements maintaining costs under $3 per day for typical households
Negative
  • Potential rate increase pending $248 million request approval
  • Extended timeline for complete modernization stretching to mid-2030s
  • Significant capital expenditure required for infrastructure upgrades

Insights

The $248 million rate request represents a significant infrastructure investment that could impact CMS's financial performance. The modernization plan targeting 10,000 service lines and system-wide upgrades demonstrates a strategic approach to maintaining and expanding critical infrastructure. While the delayed implementation until late 2025 provides a buffer for planning, the substantial capital expenditure will likely affect the company's debt metrics and cash flow in the medium term. The focus on safety and reliability improvements could help mitigate regulatory risks and potentially support future rate case approvals. The large customer base of 1.8 million natural gas users provides a stable revenue stream, though the modest <money>$3</money> daily cost per household suggests careful balance between infrastructure investment and customer affordability.

The comprehensive modernization initiative addresses critical infrastructure vulnerabilities through a multi-faceted approach. The replacement of vintage service lines will significantly reduce leak risks, while the installation of remote control valves enhances system responsiveness during emergencies. The modernization of city gates and pressure regulation facilities by the mid-2030s represents a forward-thinking approach to system reliability. The completion of the Mid-Michigan Pipeline demonstrates successful execution of large-scale infrastructure projects. This systematic upgrade strategy aligns with industry best practices for maintaining aging gas distribution networks and positions the company well for future regulatory compliance and operational efficiency.

Blueprint Calls for New Service Pipes, More Modern Facilities

JACKSON, Mich., Dec. 16, 2024 /PRNewswire/ -- Consumers Energy today announced new plans to continue modernizing and strengthening its natural gas system that heats over 1.8 million Michigan homes and businesses. Upcoming investments will replace up to 10,000 decades-old natural gas service lines that directly serve customers, plus put valves on major pipelines that can be remotely operated to respond to emergencies.

"This month's cold weather provides a real-life reminder of the need for a strong natural gas system that keeps our friends and neighbors warm," said Holly Bowers, Consumers Energy's vice president of gas engineering and supply. "Our Natural Gas Delivery Plan is ensuring our system remains safe in all weather, while continuing to get cleaner for Michigan's environment and costing the typical household less than $3 a day."

Consumers Energy provides natural gas to over 1.8 million homes and businesses, over 1 million of them in Southeast Michigan. In all, the company's natural gas team of some 2,000 employees serves customers in 45 counties.

Highlights of the Natural Gas Delivery Plan:

  • Replacing up to 10,000 vintage service lines that go directly to homes and businesses, modernizing and reducing the system's risk of gas leaks, and continuing to upgrade the distribution lines connected to those services.
  • With the recently completed Mid-Michigan Pipeline, Consumers Energy has now upgraded hundreds of miles of the transmission pipeline system that carries natural gas across the state.
  • Installing remote control valves in our transmission system to quickly isolate the system when unexpected conditions occur. This work should be complete by the mid-2030s.
  • Modernizing gas delivery hubs called "city gates" and pressure regulation facilities to ensure gas flows safely and reliably to customers. These major facilities should be fully modernized in the next decade.

To continue making these improvements, Consumers Energy today is filing a $248 million natural gas rate request with the Michigan Public Service Commission. The request will be reviewed, and, if approved, there would be no impact on customers' bills until late 2025.

"Consumers Energy is honored to serve so many Michiganders who count on us, which is why we're working for today and the long term to upgrade our system to deliver natural gas dependably," said Chris Fultz, Consumers Energy's vice president of natural gas operations. "When you see Consumers Energy employees at work, you can be sure we're making our system safe and secure to serve you for years to come."

Consumers Energy is Michigan's largest energy provider, providing natural gas and/or electricity to 6.8 million of the state's 10 million residents in all 68 Lower Peninsula counties. We take seriously our responsibility to provide that gas to millions of customers that need it from us, and that is why we're making our system stronger, safer and more affordable than ever before. 

For more information about Consumers Energy, go to ConsumersEnergy.com.

Check out Consumers Energy on Social Media 

Facebook: https://www.facebook.com/consumersenergymichigan
Twitter: https://twitter.com/consumersenergy
LinkedIn: https://linkedin.com/company/consumersenergy  
Instagram: https://www.instagram.com/consumersenergy 

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SOURCE Consumers Energy

FAQ

How much is Consumers Energy's new natural gas rate request in 2024?

Consumers Energy filed a $248 million natural gas rate request with the Michigan Public Service Commission in December 2024.

When will Consumers Energy's new gas rates affect customer bills?

If approved, the new rates would not impact customers' bills until late 2025.

How many vintage service lines will Consumers Energy replace under the new plan?

The plan includes replacing up to 10,000 vintage natural gas service lines that directly serve customers.

What is the timeline for Consumers Energy's gas facility modernization project?

The company plans to complete the modernization of major facilities including city gates and pressure regulation facilities within the next decade, with remote control valve installation continuing through mid-2030s.

How many Michigan customers does Consumers Energy serve with natural gas?

Consumers Energy provides natural gas to over 1.8 million homes and businesses across 45 counties, with over 1 million customers in Southeast Michigan.

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