Gov. Gretchen Whitmer this week signed historic clean energy legislation she says makes Michigan a national leader in the fight against climate change.
The bills will lower household utility costs, create tens of thousands of good-paying jobs, and protect Michigan’s precious air, water, and public health. The clean energy bills deliver on the proposals in the governor’s MI Healthy Climate Plan, which laid out a roadmap for Michigan’s clean energy future. The governor called for passage of clean energy and climate legislation in her What’s Next Address, a first-of-its-kind speech delivered in August laying out a policy vision for the fall after the Michigan Legislature’s unprecedented productivity through 2023.
The bills will lower household utility costs by an average of $145 a year, create 160,000 good-paying jobs, and bring nearly $8 billion of federal tax dollars home to Michigan for clean energy projects, the governor said in a release.
“Michigan’s clean energy future is bright,” Whitmer said. “These bills make Michigan the best state in the Midwest for climate action and the strongest state in the nation when it comes to labor standards for clean energy production. Together, we are fighting for our air, land, and water, improving public health and protecting our precious natural resources for future generations. We are building the future in Michigan.”
Lisa Wozniak, executive director of the Michigan League of Conservation Voters, said the act “puts Michigan on a path for some of the fastest buildout in the nation of renewable energy, like wind and solar – accelerating the cleanup of our air and protecting our Great Lakes and drinking water.”
“Michigan is now at the center of the nation’s transition to clean energy that will lower energy costs for families and small businesses, create good-paying, union jobs and tackle the climate crisis,” Wozniak said.
“Michigan’s clean energy future will be built by hardworking union men and women,” said Mike Barnwell, President of the Michigan Regional Council of Carpenters and Millwrights. “Governor Whitmer and leaders in the Michigan legislature are setting an example for the rest of the country on how to face climate change head on while creating tens of thousands of good-paying clean energy jobs that pay fair wages and offer great benefits.”
100% Clean Energy Standard
Senate Bill 271 sponsored by Senator Erika Geiss (D-Taylor) establishes a 100% clean energy standard for Michigan. By 2040, Michigan will produce all its energy from clean sources. By 2030, Michigan will produce 50% of its energy from renewable sources and 60% from renewables by 2035. The new clean energy standard will protect Michigan’s air, land, and water for future generations. It will drive down costs for consumers while reducing the state’s reliance on foreign fuel and create tens of thousands of good-paying jobs along the way.
Improving Energy Efficiency
Senate Bill 273 sponsored by Senator Sam Singh (D-East Lansing) improves energy efficiency and waste reduction programs to drive down costs for families and small businesses. It will help Michiganders upgrade their homes to save money while ensuring access to reliable power.
“The bills signed by the Governor today set robust clean energy standards, and position Michigan to become a leader in responsibly fostering the critical shift away from fossil fuels, to a sustainable, clean energy future,” Singh said. “We are demonstrating through bold action our commitment to creating a sustainable future for our residents, communities, workers and economy as a whole.”
Singh also sponsored Senate Bill 519 sponsored by Senator Sam Singh (D-East Lansing), establishes the Office of Worker and Community Economic Transition. The new office will work with workers and communities to make sure they can take full advantage of the good-paying, middle-class jobs we are creating and bringing home to Michigan.
Streamlining Clean Energy Projects
House Bill 5120 sponsored by Representative Abraham Aiyash (D-Hamtramck) and House Bill 5121 sponsored by Representative Ranjeev Puri (D-Canton) bolster the MPSC by authorizing them to streamline permitting of utility-scale clean energy the same way they can currently do so for other sources of energy. This will drive billions of dollars of federal and private investment in Michigan, creating good-paying local jobs and helping the state meet its clean energy goals.
“Today, we finally put Michigan’s clean energy future in motion. We’re on track to continue positioning Michigan to reach true energy independence – one that protects our planet, brings down energy costs for our residents, and creates great paying jobs for generations to come,” said House Majority Floor Leader Abraham Aiyash (D-Hamtramck).
“We’re seizing the moment to make Michigan a national leader in clean energy production while creating jobs and lowering costs,” Puri said. “The projects this legislation enables will create good-paying jobs, decrease energy bills and build healthier communities. This is a major step to make Michigan a more affordable and attractive place to raise a family.”
Prioritizing Local Communities
Senate Bill 502 sponsored by Senator Sue Shink (D-Northfield Township) authorizes the MPSC to consider climate and equity in their regulatory decisions so we can prioritize the health and well-being of our communities as we expand energy production.
“This clean energy-focused legislation being signed by the Governor, including my bill SB 502, is going to make a profound difference in tackling the climate crisis,” Shink said. “In addition to requiring utilities to meet clean energy standards, we are integrating equity into the regulatory process and ensuring a just transition so that every Michigander benefits as we move to clean energy. Michigan is committed to a future that is sustainable, clean, and affordable.”
Earlier this year, 5 Lakes Energy released a report on the clean energy package. The report found that in addition to saving Michigan households an average of $145 a year in energy costs, policies like the ones in the package and would help secure $7.8 billion more in federal investment from President Biden’s Inflation Reduction Act and create nearly 160,000 jobs.
The 2023 Clean Jobs America Report stated that clean energy businesses in Michigan added more than 5,400 workers in 2022 and now employ 123,983 Michiganders. Michigan now leads the Midwest in number of clean energy workers.
