The proposed amendments to the rules provide more clarity and specifically identify the obligations of electric
utilities and cooperatives. The additional reports and data requested for the required reports will assist the PSC in
understanding the electric utilities’ and cooperatives’ line clearing activities, their security and cybersecurity
programs, whether the electric utility’s and cooperative’s meters comply with quality standards, the type and use of
the data collected by solid-state meters, and whether a security breach of customer personal information has occurred.
In addition, the rules contain obsolete and outdated language regarding meter reading data, standards of good practice,
extension of electric service, metering equipment, and meter testing. The amendments will address the electric system
and metering equipment currently used by the electric utilities and cooperatives.
An amendment to R 460.3411 is necessary to provide an electric utility or cooperative and certain industrial customers
an opportunity to have a meeting discuss switching electric providers. This language allows the incumbent utility and
the customer an opportunity to resolve service issues without intervention from the PSC.
Currently, there is no provision, rule, or law that address cybersecurity programs for electric utilities in Michigan.
Proposed rule R 460.3506 requires electric utilities and cooperatives to develop, implement, and maintain a
cybersecurity program to protect against the unauthorized acquisition, access, use, or disclosure of customer, electric
utility, or cooperative information. Such a program will help protect the utility or cooperative, its information or
communication systems, networks or infrastructure from a cybersecurity attack.
8. Describe how the proposed rules protect the health, safety, and welfare of Michigan citizens while promoting a
regulatory environment in Michigan that is the least burdensome alternative for those required to comply.
Electric service affects almost every aspect of citizen’s lives and businesses in Michigan. The amendments to the rules
remove obsolete language and requirements and add new definitions, new reporting requirements, new equipment and
testing requirements, new program requirements, and new obligations, which will help to ensure that electric utilities
and cooperatives provide similar and consistent electric service and that it is safe, reliable, and affordable.
The amended rules also require the electric utility or cooperative to establish a line clearance program that includes
tree trimming, a customer notification program, and a line clearance quarterly report. These requirements are
necessary so that electric utilities and cooperatives implement line clearance programs that will ensure safe,
affordable, and reliable electric service. Most electric utilities and cooperatives already utilize line clearing activities
and these amendments clarify the utilities’ obligations and add to existing programs.
Advanced metering infrastructure and solid-state metering technology provide more accurate and efficient metering of
electricity. Solid-state meters nearly eliminate mechanical metering errors, which are costly to utility customers. In
addition, advanced metering infrastructure allows electronic meter reading, which significantly reduces, if not
eliminates, the need for a person to be physically present on the customer’s property to read the meter. Because the
meter reader does not need to be physically present to read the meter, there are fewer injuries to the meter reader
resulting from inclement weather, traffic accidents, dog bites, and physical altercations with disgruntled customers.
The amendments remove language that applies to obsolete meters and meter testing and adds language that addresses
advanced metering infrastructure and solid-state metering technology and testing.
In addition, cybersecurity incidents threaten the reliability, resiliency, and safety of the electric grid. If proposed rule
R 460.3506 is not adopted, there is no other provision, rule, or law requiring electric utilities and cooperatives to
develop, implement, and maintain a cybersecurity program. This new rule will help protect against the unauthorized
acquisition, access, use, or disclosure of customer, electric utility, or cooperative information, which, in turn, helps to
protect public health, safety, and welfare.
9. Describe any rules in the affected rule set that are obsolete or unnecessary and can be rescinded.
R 460.3205(3)(a) and (b); R 460.3309; 460.3607(3) and (4); R 460.3608; R 460.3609(2), (3), and (5); R 460.3613(2)
(b)(x) and (xi), (2)(c), (2)(d), (2)(e), (2)(f), (2)(g), (3), (4), (5), (6), and (7); R 460.3617(2), (3) are obsolete or
Fiscal Impact on the Agency