How it Works

Beginning January 1, 2002, most Alpena Power Company electric customers have the option, or “choice” to purchase their electricity competitively at a price determined solely between the customer and an unregulated Alternative Electric Supplier (AES). Or, customers may continue to buy their electricity from Alpena Power Company at prices regulated by the Michigan Public Service Commission (MPSC). Regardless of whether the electricity is purchased from an AES or Alpena Power Company, distribution (or delivery) of the electricity will continue to be through Alpena Power Company at prices regulated by the MPSC.

Every AES must be licensed by the MPSC as an authorized Alternative Electric Supplier in Michigan. The AES will charge its customers for generation (production) of electricity. The AES also will charge customers for transporting the electricity from where it is generated to Alpena Power Company’s distribution system for delivery to your home or business by Alpena Power Company.

If you choose an AES, delivery of electricity to your home or business will not change. Alpena Power Company will continue to deliver electricity to you, and will continue to maintain the power lines and restore service following an outage.

Please Note: Although there are several AESs licensed by the MPSC none of them are presently offering to serve the customers of Alpena Power Company. Accordingly, at this time, Alpena Power Company customers will not be able to switch suppliers.

What About Price Regulation?

All phases of electric supply in Michigan – power supply (generation), transmission and distribution – are regulated, either by the MPSC or the Federal Energy Regulatory Commission, with one exception: if you purchase your power supply from an AES, the price you pay the AES is not regulated.

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