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Michigan Increases Help for Energy Costs

Michigan Increases Help for Energy Costs


By Andi Anderson

The Michigan Public Service Commission (MPSC) has expanded eligibility and funding for the Michigan Energy Assistance Program (MEAP). The state-approved increase aims to help more low-income households access energy aid and self-sufficiency services.

Key Changes to MEAP

Legislation signed by Governor Gretchen Whitmer in 2024 raised the income eligibility threshold, allowing more households to qualify. Previously, a family of four could qualify with an income of $46,800 (150% of the federal poverty guideline). Now, they are eligible with $61,861 (60% of Michigan’s median income), effective October 1, 2025.

MEAP is funded by the Low-Income Energy Assistance Fund (LIEAF) through a per-meter charge on retail electric billing meters.

  • The per-meter charge increases from $1 to $1.25 in 2025.
  • It will increase by $0.25 annually until reaching $2 per meter.
  • The previous $50 million funding cap has been removed.

How Utilities Are Affected

All electric utilities must participate in MEAP or offer an equivalent program. Utilities with fewer than 45,000 residential customers may opt out, but their customers will not be eligible for MEAP aid.

Public Participation and Comments

MPSC is seeking public comments on the proposed changes. Interested parties must submit written or electronic comments by March 4, 2025, referencing Case No. U-17377.

Michigan’s energy assistance expansion aims to reduce financial strain on low-income families while ensuring sustainable funding for energy aid programs.

Photo Credit: istock-shansekala

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