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Michigan utility proposes electric and water rate hike for 5th straight year

Even a relatively small increase can become significant when it happens year after year.

Two people looking at a utility bill.

Photo Credit: iStock

Some Michigan residents could soon face another increase in their monthly utility bills.

The Lansing Board of Water & Light has proposed raising electric and water rates for the fifth consecutive year, the Lansing State Journal reported on Aug. 1. 

What's happening?

Customers served by the Lansing Board of Water & Light would be affected if the proposal is approved, although officials say this latest increase would be smaller than before. 

The utility has linked the plan to inflation, older infrastructure, higher expenses and the need to keep core systems working reliably, according to the Lansing State Journal.

Even if the adjustment is less severe, it would still extend the streak of annual rate increases to five straight years.

Why does it matter?

Even relatively small increases can become significant when they happen year after year. They can be especially challenging for lower-income households, seniors living on fixed incomes, and renters with little room in their monthly budgets.

At the same time, repairs to aging utility systems are not something cities can postpone forever. Delayed repairs can lead to outages, service disruptions, and more costly emergency fixes later on — expenses that often get passed back to customers.

People want bills to remain affordable, but they also want reliable power and safe drinking water when extreme weather or everyday demand puts pressure on the system.

What can I do?

If the proposal moves forward, customers may be able to soften some of the impact by lowering energy and water use at home. While small efficiency upgrades may not fully offset a rate hike, they can help limit how much of the increase shows up on a monthly bill.

One of the simplest ways to cut electricity use is by switching to LED light bulbs. In homes still using older bulbs in several rooms, the savings can add up over time.

Another practical step is improving heating and cooling efficiency, according to the Department of Energy. Sealing drafts around windows and doors and adjusting a programmable or smart thermostat can help reduce wasted electricity.

On the water side, fixing leaks, running full loads in dishwashers and washing machines, and installing low-flow showerheads or faucet aerators can help trim both water and water-heating costs. Customers can also check whether the utility or state agencies offer bill assistance, payment plans, or efficiency rebates.

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