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Michigan · Limited or special pathway

Commercial electricity in Michigan

Michigan limits competitive retail supply to a statutory share of utility load, so eligibility is queue-constrained rather than open. Accounts outside the cap are served by the regulated utility, where tariff and demand work still apply.

  • StructureLimited or special pathway
  • RegulatorMPSC

What Michigan businesses pay for electricity

Average commercial electricity price in Michigan

15.34¢ per kWh

12 months to August 2026 · EIA, preliminary

  • vs US average (13.87¢)+11%above the national figure
  • vs previous 12 months+7.4%from 14.28¢
  • Final 2025 (EIA-861)14.48¢15th highest of 51 markets
  • Average commercial customer5,485 kWha month, about 794 at the 2025 average
  • Since 2020+24%US +26% over the same years
Michigan average commercial electricity price compared with the US, 2010 to 2025, and the 12 months to August 2026 Michigan: 9.81¢ in 2010, 14.48¢ in 2025, 15.34¢ over the 12 months to August 2026 (preliminary). United States: 10.19¢, 13.37¢, 13.87¢. 8¢10¢12¢14¢16¢ 20102012201420162018202020222024 12 mo MI 15.34¢ US 13.87¢
MichiganUnited States12 months to Aug 2026, preliminary
Show the numbers
Average commercial electricity price, cents per kWh (EIA)
PeriodMichiganUnited States
20109.81¢10.19¢
201110.33¢10.24¢
201210.93¢10.09¢
201311.06¢10.26¢
201410.87¢10.74¢
201510.55¢10.64¢
201610.64¢10.43¢
201711.00¢10.66¢
201811.15¢10.67¢
201911.39¢10.68¢
202011.71¢10.59¢
202112.31¢11.22¢
202212.55¢12.41¢
202313.40¢12.59¢
202414.01¢12.75¢
202514.48¢13.37¢
12 months to Aug 2026 (preliminary)15.34¢13.87¢

Where the Michigan price goes

Where businesses buy energy from a competitive supplier, EIA reports the supplier's revenue and the utility's delivery revenue separately. In Michigan in 2025, 30% of the average commercial price was delivery — the part that does not change when you change supplier.

8.11¢ energy 3.46¢ delivery 10% of Michigan's commercial kWh is sold this way

This is the average revenue per kWh from every commercial customer in Michigan, from a corner shop to a hospital: energy, delivery, demand and other charges billed, divided by kWh sold. The average customer uses more than a typical small business, because a few very large customers pull the mean up. It is dated context for reading a bill — not a quote, not an available offer, and not what any one business pays.

What a typical building pays in Michigan

The same federal survey of commercial buildings behind the cost estimator, run for a typical-sized building of eight common kinds and priced at Michigan's average commercial price for the 12 months to August 2026. Typical size is the median floor area of the surveyed buildings of that kind, and the middle half is the range between the 25th and 75th percentile of them.

What a typical building of each kind pays for electricity in Michigan, per month
BuildingTypical sizeTypical billMiddle halfSurvey basis
Office building5,000 sq ft$570$400 to $800269 in the Midwest
Medical, dental or outpatient clinic5,500 sq ft$970$580 to $1,500257 nationwide
Retail store or showroom6,500 sq ft$840$440 to $1,20081 in the Midwest
Grocery or convenience store2,400 sq ft$1,600$1,100 to $2,40091 nationwide
Sit-down restaurant or cafeteria3,850 sq ft$2,000$1,100 to $2,800132 nationwide
Warehouse or distribution centre6,700 sq ft$250$130 to $670169 in the Midwest
Hotel, motel or inn12,000 sq ft$2,300$1,500 to $3,400304 nationwide
Gym, fitness or recreation facility8,300 sq ft$980$740 to $1,900148 nationwide

A screening estimate, not a quote. The price is an average across every commercial customer in Michigan, scaled for building size, and the buildings are whole buildings from EIA's 2018 survey, so a suite inside a larger building, or one with unusual hours or equipment, can differ a lot. Estimate your own building in Michigan, or check a real bill.

What utilities billed commercial customers in Michigan

For each utility, EIA records how many commercial customers it had in 2025 and the average revenue per kWh it billed them. The 10 largest of 24 Michigan utilities with 500 or more commercial customers are shown.

Largest utilities in Michigan by commercial customers, with the average price each billed in 2025
UtilityTypeBundled customersBundled price per kWhDelivery-only customersDelivery-only price per kWh
Consumers Energy CoInvestor-owned237,02016.22¢8353.31¢
DTE Electric CompanyInvestor-owned211,46313.93¢4,1593.52¢
Indiana Michigan Power CoInvestor-owned18,89212.34¢292.01¢
Great Lakes Energy CoopCooperative11,58917.53¢0—
City of LansingMunicipal11,06016.43¢0—
Cloverland Electric Co-opCooperative7,85512.17¢0—
Midwest Energy CooperativeCooperative6,38517.59¢0—
Upper Peninsula Power CompanyInvestor-owned6,14624.92¢537.19¢
City of HollandMunicipal4,70510.41¢0—
Upper Michigan Energy Resources Corp.Investor-owned4,04415.76¢483.63¢

Together the 10 shown serve about 92% of Michigan’s 567,233 commercial customers, and all 24 serve about 97%. All Michigan commercial customers together averaged 14.48¢ per kWh in 2025.

Bundled is the price paid by commercial customers who buy their energy and delivery from the utility, so it is an all-in price. Delivery-only is what the utility billed customers who buy their energy from a competitive supplier, so it is the delivery charge alone and cannot be compared with a bundled price. Each figure averages every commercial customer of that utility and service type, from a corner shop to a campus, so a utility with larger customers averages a lower price per kWh. It is dated context, not a quote and not an offer, and the utility that serves an address is named on its bill.

Source: U.S. Energy Information Administration, Form EIA-861, 2025 final data. Utilities across the country · every utility as a CSV.

Michigan limits competitive retail supply to a statutory share of utility load, so eligibility is queue-constrained rather than open. Access is capped or threshold-based rather than open, so whether a specific Michigan account qualifies must be checked against current program rules before any comparison is discussed.

Source: Michigan Public Service Commission market structure; this site's market registry · 2026-10-31

Limited or special pathway. Statutory cap means choice is queue-limited; never imply open shopping.

What a Michigan commercial account can actually do

Michigan is not an ordinary shopping market. Access is limited, and whether a specific account qualifies has to be checked against the current program rules before any comparison is worth discussing. This is the single most misrepresented category of market in this industry: a site that treats a capped or threshold-based program as ordinary retail choice will generate a great many enquiries it cannot serve.

So the first question is eligibility, not price. That means establishing which program the account would be entering, whether it is open, whether there is a queue or an enrollment window, what the demand or size threshold is, and what exit terms apply if the account later wants to return to regulated service.

For accounts that do not qualify — which is most of them — the controllable cost is still real, and it sits in the tariff rather than in a contract:

  • Rate schedule fit. Computed from your own usage against a publicly filed alternative tariff, so it is verifiable by you or your accountant.
  • Demand charges and ratchet exposure. Frequently the largest controllable line on the bill, and unaffected by any supply arrangement.
  • Billing accuracy. Meter multipliers, customer classification and misapplied riders.
  • Efficiency and load management, including any MPSC-approved program the account already qualifies for.

Where Michigan sits

Every US market on one view, coloured by what an account can actually do there. Michigan is highlighted, and every other tile is a link.

Alaska — Regulated — advisory only. Average commercial price 22.8 cents per kWh AK 22.8¢ Maine — Competitive supply market. Average commercial price 22.2 cents per kWh ME 22.2¢ Vermont — Regulated — advisory only. Average commercial price 20.8 cents per kWh VT 20.8¢ New Hampshire — Competitive supply market. Average commercial price 21.1 cents per kWh NH 21.1¢ Washington — Regulated — advisory only. Average commercial price 11.7 cents per kWh WA 11.7¢ Idaho — Regulated — advisory only. Average commercial price 9.6 cents per kWh ID 9.6¢ Montana — Limited or special pathway. Average commercial price 12.7 cents per kWh MT 12.7¢ North Dakota — Regulated — advisory only. Average commercial price 7.6 cents per kWh ND 7.6¢ Minnesota — Regulated — advisory only. Average commercial price 12.6 cents per kWh MN 12.6¢ Illinois — Competitive supply market. Average commercial price 13.8 cents per kWh IL 13.8¢ Wisconsin — Regulated — advisory only. Average commercial price 13.5 cents per kWh WI 13.5¢ Michigan — Limited or special pathway. Average commercial price 15.3 cents per kWh MI 15.3¢ New York — Competitive supply market. Average commercial price 22.3 cents per kWh NY 22.3¢ Rhode Island — Competitive supply market. Average commercial price 23.6 cents per kWh RI 23.6¢ Massachusetts — Competitive supply market. Average commercial price 24.2 cents per kWh MA 24.2¢ Oregon — Limited or special pathway. Average commercial price 10.3 cents per kWh OR 10.3¢ Nevada — Limited or special pathway. Average commercial price 9.3 cents per kWh NV 9.3¢ Wyoming — Regulated — advisory only. Average commercial price 9.7 cents per kWh WY 9.7¢ South Dakota — Regulated — advisory only. Average commercial price 11.3 cents per kWh SD 11.3¢ Iowa — Regulated — advisory only. Average commercial price 11.3 cents per kWh IA 11.3¢ Indiana — Regulated — advisory only. Average commercial price 13.8 cents per kWh IN 13.8¢ Ohio — Competitive supply market. Average commercial price 13.2 cents per kWh OH 13.2¢ Pennsylvania — Competitive supply market. Average commercial price 13.6 cents per kWh PA 13.6¢ New Jersey — Competitive supply market. Average commercial price 17.4 cents per kWh NJ 17.4¢ Connecticut — Competitive supply market. Average commercial price 21.7 cents per kWh CT 21.7¢ California — Limited or special pathway. Average commercial price 27.0 cents per kWh CA 27.0¢ Utah — Regulated — advisory only. Average commercial price 10.3 cents per kWh UT 10.3¢ Colorado — Regulated — advisory only. Average commercial price 13.1 cents per kWh CO 13.1¢ Nebraska — Regulated — advisory only. Average commercial price 8.9 cents per kWh NE 8.9¢ Missouri — Regulated — advisory only. Average commercial price 10.9 cents per kWh MO 10.9¢ Kentucky — Regulated — advisory only. Average commercial price 12.4 cents per kWh KY 12.4¢ West Virginia — Regulated — advisory only. Average commercial price 11.7 cents per kWh WV 11.7¢ Virginia — Limited or special pathway. Average commercial price 11.0 cents per kWh VA 11.0¢ Maryland — Competitive supply market. Average commercial price 16.6 cents per kWh MD 16.6¢ Delaware — Competitive supply market. Average commercial price 13.6 cents per kWh DE 13.6¢ Arizona — Regulated — advisory only. Average commercial price 12.2 cents per kWh AZ 12.2¢ New Mexico — Regulated — advisory only. Average commercial price 10.9 cents per kWh NM 10.9¢ Kansas — Regulated — advisory only. Average commercial price 11.6 cents per kWh KS 11.6¢ Arkansas — Regulated — advisory only. Average commercial price 11.3 cents per kWh AR 11.3¢ Tennessee — Regulated — advisory only. Average commercial price 13.3 cents per kWh TN 13.3¢ North Carolina — Regulated — advisory only. Average commercial price 10.6 cents per kWh NC 10.6¢ South Carolina — Regulated — advisory only. Average commercial price 11.7 cents per kWh SC 11.7¢ District of Columbia — Competitive supply market. Average commercial price 22.9 cents per kWh DC 22.9¢ Oklahoma — Regulated — advisory only. Average commercial price 9.3 cents per kWh OK 9.3¢ Louisiana — Regulated — advisory only. Average commercial price 11.5 cents per kWh LA 11.5¢ Mississippi — Regulated — advisory only. Average commercial price 13.8 cents per kWh MS 13.8¢ Alabama — Regulated — advisory only. Average commercial price 14.8 cents per kWh AL 14.8¢ Georgia — Regulated — advisory only. Average commercial price 11.8 cents per kWh GA 11.8¢ Hawaii — Regulated — advisory only. Average commercial price 40.3 cents per kWh HI 40.3¢ Texas — Competitive supply market. Average commercial price 8.6 cents per kWh TX 8.6¢ Florida — Regulated — advisory only. Average commercial price 11.7 cents per kWh FL 11.7¢
  • 14 you can choose — businesses can pick their supplier
  • 6 some can choose — by size, cap or program
  • 31 utility only — other charges can still be fixed

Number on each tile: average commercial electricity price in cents per kWh, 12 months to August 2026 (EIA, preliminary).

Before we can answer anything specific

We verify from the account, not from the address alone:

  • The utility territory actually serving the service address
  • The account identifier and customer class
  • Current supply arrangement, including any aggregation and its termination status
  • Contract expiry date and whether the decision window is open
  • 12 months of consumption and, where metered, peak demand
Get a free bill check

Supplier comparison is not open in Michigan yet. The free bill check shows how much of your bill a supplier could even touch and what is worth a look today, which is the same first step whichever way you go.