On Thursday, October 10, 2024, the Michigan Public Service Commission (Commission) approved final application instructions and procedures that will be used to implement the state’s new renewable energy siting law, Public Act 233 of 2023 (PA 233). PA 233 goes into effect on November 29, 2024, and gives the Commission siting authority over large-scale renewable energy and storage projects, except when a local municipality adopts a compatible renewable energy ordinance with requirements that are no more restrictive than those in PA 233, including setbacks and review timelines.
The Commission’s application instructions and procedures are intended to assist renewable energy developers applying for siting approval from the Commission by providing clarity on pre-application procedures, fees, required application documents and exhibits, and the submittal process. Some of the changes in the final draft include:
- Narrowing the scope of what is considered a “compatible renewable energy ordinance” — a CREO may only contain the setback, fencing, height, sound, and other applicable requirements expressly outlined in PA 233 and may not contain additional requirements beyond those specifically identified in the law;
- Clarifying what “affected local units” of government are eligible for a $2,000 per megawatt payment and a one-time grant payment;
- Establishing a pre-application check-list for developers to satisfy before filing with the Commission; and
- Confirming that the Commission will review entire projects spanning multiple jurisdictions (regardless of whether portions of the project were denied or approved at the local level).
Varnum stands ready to assist developers in navigating Michigan’s State Siting process. We will continue to monitor the implementation of PA 233, including developments at the Commission, as the law takes effect later this year.
If you have any questions about the Commission’s recent Order, PA 233’s general requirements, or if you want to discuss obtaining a Certificate from the Commission, please contact Varnum’s Renewable Energy Team.