Michigan industrial electricity rates

Analyst note

The Michigan industrial price sat above the U.S. average in 10 of 10 years; the gap was +0.11 ¢ in 2015 and +0.13 ¢ in 2024. In the 2024 ranking Michigan sits between South Dakota (8.28 ¢) one place above and Indiana (8.15 ¢) one place below; the top of the list is 25.87 ¢ away and the bottom 2.83 ¢. Michigan was 24th in 2015 with 7.02 ¢ and is 23rd now; a rise in the table. Michigan industrial prices rose in 5 of 9 years. The largest rise was +8.3% in 2022, and the largest fall -2.0% in 2023. The Michigan price peaked at 8.33 ¢ in 2022 and bottomed at 6.91 ¢ in 2016; 2024 is 0.8% below the peak and +19.5% from the low. Compounded, that is +1.82% a year in Michigan, +0.00 points against the U.S. Michigan buys 2.73% of all U.S. industrial electricity with 0.52% of the accounts, so the average Michigan account uses 5.30 times the national average.

Michigan industrial customers paid 8.26 ¢ in 2024, which puts the state 23rd of 51, a middle position, 0.13 ¢ over the U.S. Nine years moved the Michigan industrial price +17.7% (+1.8% a year), level with the U.S. by 0.0 points. The sharpest year was 2022 at +8.3%; the peak came in 2022.

The latest Michigan year moved +1.2%, so prices are still climbing. The Michigan residential price of 19.30 ¢ sits 11.04 ¢ above. A Michigan industrial account uses 409,143 kWh a month; priced at 8.26 ¢ that is about $33,795, and the sector buys 28.6% of Michigan's power.

Counting revenue instead of kWh, Michigan industrial accounts bring in 16.7% of Michigan sector revenue on 28.6% of the kWh, a discount of 11.9 points that comes from the price level: 8.26 ¢ here against 19.30 ¢ for residential and 14.01 ¢ for commercial accounts. The average Michigan industrial account uses 409,143 kWh a month, 7 of 51 among states on that measure; a residential account uses 0.00 times as much and a commercial account 0.01 times. Industrial accounts are 0.11% of the 5,086,703 accounts in Michigan.