Michigan Electric Choice Fully Subscribed in 2025: 5,101 Customers in Queue

The cap is full and the queue is long

Michigan allows 10% of each investor-owned utility's retail load to buy competitive electric supply [mpsc-choice-faq]. The Michigan Public Service Commission reported that the program remained fully subscribed in 2025, with 5,101 customers in the queue [mpsc-choice-2025].

For a cannabis cultivator planning a new facility in DTE or Consumers Energy territory, that means competitive supply is not available on day one unless you inherit an existing choice enrollment. You pay regulated utility rates until capacity opens.

How Michigan electric choice works

Concept	Detail
Cap	10% of utility retail load per IOU [mpsc-choice-faq]
Utilities	DTE Electric, Consumers Energy (separate caps)
Queue	5,101 customers waiting as of 2025 [mpsc-choice-2025]
Legislation	SB 588 to lift cap stalled [mpsc-choice-2025]

When a choice customer returns to regulated service or reduces load below choice thresholds, capacity may free up for the next customer in queue [mpsc-choice-report]. Wait times depend on how many existing choice customers leave and where you sit in line.

Why cultivators want choice

Regulated rate cases hit Michigan growers directly. The MPSC approved $242.4 million for DTE and $276.6 million for Consumers Energy in 2026 [mpsc-choice-2025]. Choice customers buy supply from alternative energy suppliers while the utility continues billing delivery-related charges under the regulated tariff [mpsc-choice-faq].

Competitive supply does not eliminate demand charges or all regulated components, but it can lower the generation/supply portion compared to bundled regulated rates. In a fully subscribed market, most new operators never reach that option.

Getting in the queue

The MPSC consumer choice page describes enrollment mechanics [mpsc-choice-faq]. Steps typically include:

1. Confirm your utility (DTE or Consumers Energy) and account is eligible.
2. Submit queue enrollment through the MPSC process.
3. Wait for capacity notification when a slot opens under the 10% cap.
4. Sign with a licensed alternative energy supplier within the enrollment window.

Queue position matters. With 5,101 customers ahead [mpsc-choice-2025], new enrollments in 2026 face uncertain wait times. Some operators have waited years.

Worked example: cost of waiting on regulated rates

Assume a 25,000 sq ft indoor grow in Grand Rapids on Consumers Energy at 350 kW peak and 420,000 kWh monthly use. Illustration only.

Scenario	All-in regulated rate	Competitive supply (illustration)
Monthly kWh	420,000	420,000
Supply rate	12.0 cents bundled	9.5 cents supply + delivery separate
Monthly supply cost	$50,400	$39,900
Annual difference		~$126,000

Actual competitive quotes vary. The illustration shows why operators pursue choice despite the queue. Regulated rate increases from the May 2026 Consumers order widen the gap further for customers stuck on bundled tariffs.

Alternatives while you wait

Option	How it works
Join the queue	First step for future choice access [mpsc-choice-faq]
Acquire existing choice account	Business purchase may transfer enrollment; confirm with MPSC
Efficiency + demand management	Reduce kWh and kW on regulated tariff
LED rebates	MPSC and utility programs for horticulture equipment
Rate class review	Ensure correct tariff for your load profile

See Michigan 2026 rate increases for the regulated rate context you face while waiting.

SB 588 and legislative outlook

SB 588 would have expanded or eliminated the 10% choice cap [mpsc-choice-2025]. The bill stalled in the Michigan legislature as of early 2026. Until law changes, the MPSC administers choice under the existing cap and queue system [mpsc-choice-report].

Cannabis industry groups and general commercial customers both lobbied on choice expansion. Outcome affects every new facility pro forma in the state.

DTE vs Consumers: separate caps, separate queues

DTE Electric (southeast Michigan) and Consumers Energy (west and central) maintain separate 10% caps [mpsc-choice-faq]. A facility in Detroit and a facility in Lansing face different queue dynamics. The 5,101 figure is statewide across both utilities [mpsc-choice-2025].

Confirm which utility serves your site before enrolling. Queue enrollment ties to the serving utility account.

What to tell your CFO

If you are building a cultivation facility in Michigan:

1. Budget regulated all-in rates, not competitive supply prices, unless you have confirmed choice access.
2. Enroll in the queue at project inception, not at energization.
3. Model 2026 rate case impacts on your pro forma.
4. Invest in load management because demand charges apply regardless of choice status.

See how to switch electricity suppliers in Michigan for the full procedure when capacity becomes available. For load benchmarks, see Michigan cultivation facility energy.

Reading the MPSC competition status report

The 2025 Electric Competition Status Report on the MPSC website breaks down queue depth by utility [mpsc-choice-report]. DTE and Consumers Energy each maintain separate caps and waitlists [mpsc-choice-faq]. Before acquiring a facility, verify whether the seller's choice enrollment is active and transferable.

What happens when choice capacity opens

When a slot opens, the next customer in queue receives notification with a enrollment window [mpsc-choice-faq]. Missing the window sends you to the back of the line. Assign staff to monitor MPSC correspondence if you are waiting on capacity for a time-sensitive expansion.

Regulated rate trajectory without choice

Even without choice, understanding 2026 DTE and Consumers rate hikes helps you budget. Regulated tariffs include generation, distribution, and surcharges in one bill [mpsc-choice-2025]. Future MPSC cases may add further increases. Efficiency and demand management remain your primary levers until choice capacity arrives.

What to do while you wait in the queue

The 5,101 customers in Michigan's electric choice queue as of 2025 cannot enroll until existing choice load drops below the cap [mpsc-choice-2025]. While waiting, optimize on default service: manage peak demand, pursue utility efficiency rebates where available, and prepare supplier quotes so enrollment is ready the day a slot opens.

Some multi-site operators place new load in choice-eligible entities or acquire choice load through mergers. Confirm legality and MPSC rules with counsel before restructuring.

Alternative energy supplier licensing in Michigan

Only licensed alternative energy suppliers may serve choice customers [mpsc-choice-faq]. The MPSC publishes eligibility requirements on its consumer choice page [mpsc-choice-faq]. When capacity opens, you typically have a limited window to sign with a supplier before the slot passes to the next queue customer [mpsc-choice-report].

Prepare supplier quotes before you receive capacity notification. Cultivators who wait until notification to start shopping may miss the enrollment window and return to the queue [mpsc-choice-faq].

Reading the 2025 competition status report

The MPSC's 2025 Electric Competition Status Report breaks down queue depth, choice load percentages, and cap utilization by utility [mpsc-choice-report]. DTE and Consumers Energy each maintain separate 10 percent caps [mpsc-choice-faq]. A shorter queue at one utility does not help a facility served by the other.

The report also documents how many choice customers returned to regulated service during the year [mpsc-choice-report]. Returns free capacity for the next queue customer. Track annual report releases each February when modeling wait time for new projects [mpsc-choice-2025].

Acquisition due diligence on choice enrollment

Buying an operating cultivation facility with active choice enrollment requires verifying the allocation transfers with the meter [mpsc-choice-faq]. Some deals treat choice enrollment as a material asset. Confirm with the MPSC and the serving utility before closing. A buyer who assumes choice access without verification may discover the seller's supplier contract terminated at sale and the buyer lands on regulated rates [mpsc-choice-2025].

Regulated rate increases from 2026 DTE and Consumers orders widen the spread between bundled tariffs and competitive supply, which makes inherited choice slots more valuable when capacity is unavailable for new enrollments [mpsc-choice-2025].

SB 588 legislative outlook

SB 588 would have expanded electric choice beyond the ten percent cap [mpsc-choice-2025]. The bill stalled in the Michigan legislature as of early 2026 [mpsc-choice-2025]. Operators should not budget assuming cap relief until a bill passes both chambers and is signed. Monitor MPSC news releases each February for queue status updates regardless of legislative activity [mpsc-choice-report].

Horticultural load and commercial classification

Cannabis cultivation draws continuous lighting load that resembles industrial rather than office commercial profiles [mpsc-choice-faq]. Alternative energy suppliers price choice load based on peak demand, load factor, and usage volume [mpsc-choice-report]. Prepare twelve months of interval data when requesting quotes so suppliers reflect your actual cultivation shape rather than a generic commercial assumption [mpsc-choice-2025].

When capacity eventually opens, you may have as little as thirty days to sign with an alternative energy supplier before the slot passes to the next queue customer [mpsc-choice-faq]. Maintain a short list of licensed suppliers and pre-negotiated term sheet templates so enrollment happens within the window [mpsc-choice-report].

Assign one staff member to monitor MPSC mail and email for capacity notifications if your organization is in the queue [mpsc-choice-faq]. Missed enrollment windows reset wait time [mpsc-choice-2025]. See how to switch electricity suppliers in Michigan for enrollment steps when a slot opens [mpsc-choice-report].