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FERC Ruling Brings Rate Relief to Cloverland Electric Members in Eastern U.P.

DAFTER, Mich.- The Federal Energy Regulatory Commission issued a decision yesterday ordering Midcontinent Independent System Operator (MISO) to develop a new method for how to pay for the costs of operating the Presque Isle Power Plant.

Cloverland CEO Dan Dasho stated that the utility will be reviewing the 90-page order over the coming days, but at this point he is excited about FERC’s decision.

“We had argued from the beginning that customers in the eastern U.P. do not benefit from the plant and should not have to pay for its operation,” said Cloverland CEO Dan Dasho. “To force millions of dollars in payments for a plant that we do not benefit from was patently unfair and we are delighted that FERC agreed with our position. This decision is a major relief for Cloverland members and the eastern U.P. as a whole.”

FERC rejected the use of local balancing authority boundaries to assign costs for System Support Resource payments. MISO has been given 60 days to reevaluate who benefits from the Presque Isle plant and create a plan that properly assigns the costs.

“We would also like to extend our sincere appreciation to Cloverland’s membership for the thousands of letters, phone calls and emails they sent on this issue. Thanks to the many individuals and small businesses who made their voices heard, the entire state is now aware of the need for fair energy policies that ensure reliable and affordable energy in the U.P.,” said Dasho.

Established in 1938, Cloverland Electric Cooperative is a not-for-profit, member-owned utility located in Michigan’s Upper Peninsula serving approximately 42,000 homes and businesses in Chippewa, Delta, Mackinac, Luce, and Schoolcraft counties.

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For more information, contact:

Todd Chapman
Communications Manager
906-632-5181, tchapman@cloverland.com