Consumers Energy extended the deadline for a state decision on its proposed sale of 13 hydroelectric dams by 60 days.

The utility announced Tuesday, Sept. 8, that it waived its own timeline and asked the Michigan Public Service Commission (MPSC) to delay while it negotiates with opponents. The commission, based in Lansing, had been expected to rule Thursday, Sept. 10. The new deadline is Monday, Nov. 9.

The outcome matters for Michigan ratepayers. Consumers Energy, a subsidiary of CMS Energy Corporation, is a major investor-owned utility serving customers across the state. The company has warned that if the sale is rejected, it will decommission all 13 dams, a process it says would take more than 20 years.

Administrative Law Judge James Varchetti ruled in June that the proposed sale is "inconsistent with the public interest." He called the deal "highly problematic" and "unreasonable and imprudent," concluding it threatens public safety and may not be the cheapest option for ratepayers, the Big Rapids Pioneer reported.

Consumers has proposed selling all 13 dams to Confluence Hydro, a subsidiary of Maryland-based private equity firm Hull Street Energy, for $1 each. It would then buy back the electricity the dams generate for 30 years. The dams sit on five Michigan rivers, including the Au Sable, Manistee and Muskegon, according to MLive.

Gov. Gretchen Whitmer urged the MPSC in an Aug. 13 letter to reject the sale unless stronger protections are added. She cited the 2020 failure of the Edenville and Sanford dams, which displaced more than 10,000 people and caused more than $200 million in damages.

In July, Consumers and Confluence announced a $270 million shareholder-backed "Hydro Safety Fund." Whitmer dismissed it as "too little, too late, and too difficult to access," according to the Cadillac News.

Attorney General Dana Nessel and the Department of Natural Resources also formally opposed the transaction.

Opponents are skeptical of the negotiation window. Bob Stuber, director of the Michigan Hydro Relicensing Coalition, told MLive that Consumers had months to seek a settlement but never approached the coalition. His group called the extension a "belated Hail Mary."

Howard Learner, an attorney with the Environmental Law and Policy Center representing sale opponents, said he would attend the negotiations in good faith but believes the MPSC should have already ruled.

"The commission should exercise its legal responsibilities to decide this case," Learner told Michigan Public. "We're going into the negotiations in good faith, but if the negotiations aren't going anywhere, it's the commission's responsibility to issue a final decision."

MPSC spokesperson Matt Helms confirmed the commission received Consumers' notice but declined further comment, according to MLive. The extension does not prevent the MPSC from issuing an order before Nov. 9.