Section R. 460.3411 - Extension of electric service in areas served by 2 or more electric utilities or cooperativesRule 411.
(1) As used in this rule:(a) "Customer" means the buildings and facilities served rather than the individual, association, partnership, or corporation served.(b) "Distances" means measurements that are determined by direct measurement from the closest point of an electric utility's or cooperative's existing distribution facilities to the customer's meter location and that are not determined by the circuit feet involved in any extension.(c) "Distribution facilities" means single-phase, V-phase, and 3-phase facilities and does not include service drops.(2) Existing customers shall not transfer from 1 electric utility or cooperative to another.(3) Prospective customers for single-phase service that are located within 300 feet of the distribution facilities of 2 or more electric utilities or cooperatives shall have the service of their choice.(4) Prospective customers for single-phase service that are located more than 300 feet, but within 2,640 feet, from the distribution facilities of 1 or more electric utilities or cooperatives shall be served by the closest electric utility or cooperative.(5) Prospective customers for single-phase service that are located more than 2,640 feet from the distribution facilities of any electric utility or cooperative shall have the service of their choice, subject to the provisions of subrule (10) of this rule.(6) Prospective customers for 3-phase service that are located within 300 feet of the 3-phase distribution facilities of 2 or more electric utilities or cooperatives shall have the service of their choice.(7) Prospective customers for 3-phase service that are located more than 300 feet, but within 2,640 feet, from the 3-phase distribution facilities of 1 or more electric utilities or cooperatives shall be served by the closest electric utility or cooperative.(8) Prospective customers for 3-phase service that are located more than 2,640 feet from the 3-phase distribution facilities of any electric utility or cooperative shall have the service of their choice, subject to the provisions of subrule (10) of this rule.(9) Regardless of any other provisions in these rules, a prospective industrial customer, as defined under the industrial classification manual, division D, manufacturing, for 3-phase service that will have a connected load of more than 500 kilowatts shall have its choice of service from any nearby electric utility or cooperative that is willing to construct the necessary facilities. The facilities that are constructed to serve an industrial customer that would otherwise have been served by another electric utility or cooperative shall not qualify as a measuring point in determining which electric utility or cooperative will serve new customers in the future.(10) The extension of distribution facilities, except as provided in subrules (3), (4), (6), and (7) of this rule, where an extension will be located within 1 mile of another electric utility's or cooperative's distribution facilities, shall not be made by an electric utility or cooperative without first giving the commission and any affected electric utility or cooperative 10 days" notice of its intention by submitting a map showing the location of the proposed new distribution facilities, the location of the prospective customers, and the location of the facilities of any other electric utility or cooperative in the area. If no objections to the proposed extension of distribution facilities are received by the commission within the 10-day notice period, the electric utility or cooperative may proceed to construct the facilities. If objections are received, the determination of which electric utility or cooperative will extend service may be made the subject of a public hearing and a determination by the commission, upon proper application by any affected party.(11) The first electric utility or cooperative serving a customer pursuant to these rules is entitled to serve the entire electric load on the premises of that customer even if another electric utility or cooperative is closer to a portion of the customer's load.(12) An electric utility or cooperative may waive its rights to serve a customer or group of customers if another electric utility or cooperative is willing and able to provide the required service and if the commission is notified and has no objections.(13) Nothing contained in these rules shall be construed to circumvent the requirements of the certificate of convenience and necessity, 1929 PA 69, MCL 460.501 to 460.506, or to authorize an electric utility or cooperative to extend its service into a municipality then being served by another electric utility or cooperative without complying with the provisions of 1929 PA 69, MCL 460.501 to 460.506.(14) Regardless of other provisions of this rule, except subrule (9) of this rule, an electric utility or cooperative shall not extend service to a new customer in a manner that will duplicate the existing electric distribution facilities of another electric utility or cooperative, except where both electric utilities or cooperatives are within 300 feet of the prospective customer. Three-phase service does not duplicate single-phase service when extended to serve a 3-phase customer.(15) The first electric utility or cooperative to serve a customer in a new subdivision under the other provisions of this rule has the right to serve the entire subdivision. In extending service to reach the subdivision, the electric utility or cooperative shall not duplicate the existing facilities of another electric utility or cooperative.(16) An existing industrial customer that meets the criteria in subdivision (a) of this subrule and that desires to change electric providers is entitled to a 1-hour meeting as set forth in subdivision (b) of this subrule. (a) The existing industrial customer shall comply with all of the following:(i) Meet the characteristics of the industrial classification manual, division D, manufacturing.(ii) Have a connected load of more than 500 kilowatts.(iii) Be served with 3-phase electric service.(iv) Be located within 5 miles of any 3-phase facilities owned and operated by the non-incumbent electric utility or cooperative.(b) The 1-hour meeting must comply with all of the following:(i) Occur within 60 days of the customer's request for the meeting.(ii) Include in attendance the customer, the electric utility or cooperative currently serving the customer, and the electric utility or cooperative from whom the customer proposes to take service.(iii) Include a discussion of the customer's proposal to switch providers.(c) If all attendees agree, the meeting may take place via telecommunications.(d) The customer or group of customers are entitled to not less than 1 meeting in a 3-year period. Additional meeting requests during the 3-year period may be approved or denied by the incumbent electric utility or cooperative, the non-incumbent electric utility or cooperative, or both.(17) An incumbent electric utility or cooperative may waive its right to serve a customer or group of customers pursuant to subrule (12) of this rule. The incumbent electric utility's or cooperative's decision must be provided in writing to the customer within 60 days of the meeting described in subrule (16)(b) of this rule. Any facilities that are constructed to serve an existing industrial customer that has switched providers do not qualify as a measuring point in determining which electric utility or cooperative will serve new customers in the future.Mich. Admin. Code R. 460.3411
1983 AACS; 1996 AACS; 2023 MR 7, Eff. 4/10/2023