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Wind and Solar Growth Tied to Higher Michigan Electric Bills, Study Says

Study shows wind and solar expansion correlates with rising Midwest power prices, projecting $2,000 annual bill increase for Michigan homes by 2035.

Elena Voss/3 min/US

Business & Markets Editor

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Wind and Solar Growth Tied to Higher Michigan Electric Bills, Study Says
Source: MichiganpublicOriginal source

Wind and solar now supply 13% of Michigan’s electricity, and a Mackinac Center study finds their expansion strongly correlates with higher power costs across the Midwest, forecasting a roughly $2,000 annual increase for households by 2035.

Context

Michigan’s renewable portfolio has grown quickly. Wind provided 10% of the state’s electricity and solar contributed 3% in the most recent year. State law now requires wind and solar to reach 60% of generation by 2035. Neighboring Midwest states have followed similar trends, and all have seen electricity prices climb since 2019.

Key Facts

The addition of wind and solar capacity shows a 0.93 correlation with price increases across five Midwest states, indicating a tight statistical link. The Mackinac Center projects that meeting Michigan’s mandate could push average residential bills up by about $2,000 per year by 2035. These estimates reflect the hidden costs of new wind, solar, and battery projects that utilities finance through long‑term arrangements and include in rate requests.

What It Means

Higher renewable shares are not automatically lowering costs; instead, the data suggest they are driving much of the recent price rise in the region. Policymakers must weigh climate goals against affordability impacts as the 2035 deadline approaches.

Watch for upcoming Michigan Public Service Commission hearings on utility rate cases, where the cost of new wind and solar projects will be scrutinized.

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