Mich.'s Utilities Seek Double-digit Rate Hikes

"I think it is crummy in this time of hardship," says Bonnie Banks, 61, a retired court recorder who splits her time between Ann Arbor and Oscoda and is a power customer of both Consumers Energy and Edison. "Because of the economy and all the layoffs and our high unemployment rate, it seems like there would be an even larger hardship for people."

Dan Shaw, a junior high social studies and government teacher at Montabella Community Schools southwest of Mount Pleasant, understands utilities have to offset higher expenses by billing customers more.

But Shaw, who also is Rolland Township's supervisor, says residents are facing unprecedented financial stress in the recession, losing their jobs, homes and families.

"My plea for (Consumers Energy) is to consider keeping things capped for a little while. Give us a chance, give us a break out here," says Shaw, 50. "Let residents get caught up a little."

Consumers spokesman Jeff Holyfield says higher rates are needed so the utility can upgrade power lines and equipment, reduce emissions, install software for improved billing and customer service, and develop metering technology to pinpoint power outages.