Consumers Energy has announced plans to seek another natural gas rate increase, even as its recently approved increase awaits a Nov. 1 effective date.
For Lansing-area customers who buy natural gas from Consumers, the approved increase will add about $3.92 to a monthly residential bill at the usage level used by state regulators. The amount of the next proposed increase has not been announced.
Consumers submitted an advance filing notice Monday, Oct. 19, saying it intends to apply for another natural gas distribution rate increase on or after Dec. 18. The notice opens Case U-22261 but does not specify the requested amount.
It came four days after the Michigan Public Service Commission approved a $139.2 million annual increase in Consumers’ natural gas revenue.
According to the commission’s Oct. 15 announcement, the approved rates take effect Nov. 1. A residential customer using 75 ccf, or 7,500 cubic feet, of gas monthly would pay $3.92 more, an increase of 4.33%. Actual bill impacts depend on usage and customer classification.
Consumers’ business rate information estimates a monthly increase of $25.29 for business customers.
Regulators reduced Consumers’ original $240 million request by more than 42%. They approved investments in replacing higher-risk gas mains and service lines and repairing leaks, while rejecting expenses they found insufficiently supported.
The commission disallowed more than $7.9 million sought for transmission pipeline integrity work, citing repeated differences between projected spending and actual spending.
Attorney General Dana Nessel said her office would intervene in the upcoming case, Fox 17 reported Oct. 20.
“Consumers Energy was approved for a new natural gas rate hike just last week, and before a single new dollar could be spent, they’ve announced their next rate hike,” Nessel said in a statement quoted by the station.
Nessel also questioned the costs customers bear for preparing successive rate applications and said her office has sought tracking of those expenses.
Consumers said its natural gas system requires continued investment in safety and reliability. In a statement reported by Fox 17, the company said it favors smaller, more frequent requests over larger increases after several years.
The commission has also recommended changing the process. In recommendations released in August, it called for replacing annual rate cases with multiyear plans to improve predictability for customers.
The Lansing Board of Water & Light, Michigan State University and the Citizens Utility Board of Michigan participated in the case decided Oct. 15, according to the commission.
Consumers’ preceding gas rate increase, approved in September 2025, authorized approximately $157.5 million in additional annual revenue. Regulators estimated that increase added 8.1% to a residential bill at the same monthly usage level.
The newly announced case is separate from the rates taking effect Nov. 1. Its notice does not establish another approved increase or an effective date.
