Consumers Energy announced Wednesday their request for a proposal to sell 13 hydroelectric dams across Michigan.
With their licensing on the dams expiring in 11 years, Consumers Energy announced last year they would either sell, keep, remove or replace the dams. 11 Dams are in Northern Michigan and two of those are in Manistee County, raising concerns among local officials.
“Our concerns about trying to keep the dams is very real. We have a 100 year history with the Tippy Dam and Hodenpyl. It’s very important to our economic well-bing and fisheries as well,” explained Manistee County Chair Jeffrey Dontz.
The announcement comes a year after conducting studies and gathering community feedback. The Vice President of Generation Operations for Consumers, Norm Kapala, said the public made it “very clear how important the reservoirs and our impoundments are to the communities we serve for both economic and recreational opportunities.”
During a press conference Wednesday, Kapala and Adam Monroe, Executive Director of Hydro Generation, admitted all options are still open. They explained hydro is the most expensive form of energy, costing nine times more than other energy sources while providing less than 1% of energy used.
Kapala said dams are costing customers a lot of money, and while the sale of the dams won’t impact energy it’s not clear how much Consumers will make from the deal or if it will impact customers’ utility bills. “That’s part of the process. To talk about quantifying what that impact would be is really premature at this time,” said Kapala.
Consumers could spend the next two years searching for a future owner, but expect to have initial bids by March of next year. However, Dontz isn’t confident there will be a lot of offers.
“I would be fine with that, but then again, I feel like [offers] are going to be rare and few,” said Dontz. “Consumers has been a tremendous partner, I would love to see it maintain them as the owners and continue that partnership for the next 100 years.”
Consumers will have another round of community meetings updating the public in fall 2024. Click here for more information.
