Consumers Energy to Invest $170M to Modernize Michigan’s Natural Gas System

Jackson-based Consumers Energy is planning to invest $170 million to modernize Michigan’s natural gas system. Improvements are designed to make the system more safe, clean, reliable, and affordable for customers, according to the company.
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Natural Gas Pipes
Consumers Energy is planning to invest $170 million to modernize Michigan’s natural gas system. // Photo courtesy of Consumers Energy

Jackson-based Consumers Energy is planning to invest $170 million to modernize Michigan’s natural gas system. Improvements are designed to make the system more safe, clean, reliable, and affordable for customers, according to the company.

The investment is part of Consumers Energy’s Natural Gas Delivery Plan, a 10-year, $11 billion blueprint that includes upgrading transmission infrastructure, transforming compression and storage operations, and replacing aging distribution pipes.

“This investment directly supports a modern natural gas system by replacing pipes dating to the 1940s to ensure safe delivery of our customers need to heat their homes and businesses,” says Chris Fultz, vice president of gas operations at Consumers Energy. “A more reliable system keeps homes cozy in the winter, and puts warm, home cooked meals on the table for Michigan families. These critical upgrades will also help protect the environment by reducing emissions of methane, a greenhouse gas more potent than carbon dioxide.”

Major components of Consumers Energy’s overall plan include:

Reliability: Investing $1 billion annually to modernize the system — a commitment it says it plans to continue in the coming decade. The company adds that the upgrades it is completing to its natural gas transmission, distribution, and storage system are creating hundreds of construction jobs each year.

Affordability: Consumers Energy says it “continues to shield customers from price volatility of the market with the nation’s largest underground storage system, which allows us to buy large amounts of natural gas when it’s cheapest and pass those savings along to customers during the winter when demand is highest.” This year, Consumers Energy also has committed nearly $12 million in new assistance to help Michiganders stay safe and warm in their homes, including $3.5 million for a pilot program for vulnerable households. People who are struggling with energy bills should call 2-1-1, a free service that connects people with nonprofit agencies in communities across the state.

Clean Energy Transformation: Consumers Energy says it is committed to leading Michigan’s decarbonization efforts as the role of natural gas evolves in the coming years such as investing in its natural gas system to enhance safety and reliability and continue reducing greenhouse gas emissions and exploring the use of renewable natural gas (RNG) and other emerging technologies to help customers and suppliers reduce their emissions. Additionally, the company says it is looking beyond its own operations to help customers reduce greenhouse gas emissions from natural gas sources.

“While prices are increasing due to a variety of global economic factors, Consumers Energy is working to minimize the impact for our customers and Michigan,” Fultz says. “We are here for customers with energy efficiency and customer assistance programs to ensure all customers have the energy they need this winter.”

Consumers Energy, Michigan’s largest energy provider, is the principal subsidiary of CMS Energy that provides natural gas and/or electricity to 6.8 million of the state’s 10 million residents in all 68 Lower Peninsula counties.

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