Energy Optimization

Michigan Public Act 295 of 2008 requires the City of Chelsea to file a Renewable Energy Plan and an Energy Waste Reduction Report  prior to April 3, 2009. Following are summaries of both plans that also include links to the detailed plans. These plans were prepared for the City on behalf of the Michigan Public Power Agency (MPPA) staff and the Michigan Municipal Electric Association (MMEA) staff with the assistance of a consultant. The City is a member of both the MPPA and MMEA. In their current format, these plans meet the requirements of PA 295.   The City also provides an annual summary of progress towards plan goals.

Renewable Energy
Through the MPPA, the City is a partner in landfill gas projects that will provide approximately 50% of the required renewable energy standard—10% by 2014. These projects are: 

  • Participating in Granger projects
  • Cooperating in MPPA initiatives including wind, bio-mass or new technologies yet to be explored
  • Initiating local renewable efforts
  • It is anticipated that the cost of renewables will become more cost competitive in the next three to five years.

Energy Optimization
In February 2009, the City of Chelsea—in coordination with the MMEA—contracted with the Summit Blue and Wisconsin Energy Conservation Corporation (WECC) to prepare a portfolio of reliable and cost effective energy efficiency programs for implementation starting in 2009.

The resulting City of Chelsea 2009-2012 Energy Optimization Portfolio outlines goals, budgets, and programs that are designed to achieve the four-year energy conservation targets identified in PA 295. The programs in this plan are based on typical measure characteristics used in similar 'best practice' programs across the country and include specific savings estimates from the new Michigan Deemed Savings Database. The programs were modeled using a cost/benefit analysis tool that provides results from several stakeholder perspectives. Specifically, the programs were selected based on the following objectives:  

  • To provide electric energy savings for residential and commercial/industrial customers through a portfolio of proven 'best practice' energy efficiency programs that is cost effective from a utility system resource cost perspective;
  • To develop program designs that can achieve the required energy savings goals within the specified budget caps identified in PA 295;
  • To outline a program ramp-up schedule that allows for a rapid start up of quality programs with high savings potential;
  • To recommend potential opportunities to leverage program funding with other state, regional, and national efforts.