State Mandated Energy Optimization Surcharge
Energy Efficiency. Smarter Use. Better Future.
Public Act 295, also known as Michigan’s Clean, Renewable, and Efficient Energy Act, requires utilities like Traverse City Light & Power (TCLP) to offer Energy Optimization (EO) programs for their customers.
These programs are designed to help homes and businesses use energy more efficiently, lower utility bills, and reduce overall energy demand in the community. Through PA 295, utilities invest in incentives, education, and tools that make it easier for customers to save energy and money – all while supporting a cleaner, more sustainable energy future for Michigan.
What is Energy Optimization (EO)?
Why It Matters
Energy Optimization programs make it easier for customers to save energy every day. By using energy more efficiently – through better lighting, upgraded equipment, and smart energy habits – you can lower your utility bills, reduce overall energy use, and lessen your impact on the environment. These collective efforts help keep energy costs stable and support a more sustainable community.
How It Works
Under Public Act 295, utilities like TCLP develop and file Energy Optimization plans with the Michigan Public Service Commission (MPSC). These plans outline how programs will help customers save energy over time. Programs are introduced and expanded in phases, allowing utilities to build on early successes and offer new ways for customers to improve efficiency year after year.
What This Means for Our Community
When our community uses energy more efficiently, everyone benefits. Electrification is a key part of this effort. Modern electric technologies use energy much more efficiently than equipment that burns fuel, which means they provide the same comfort and performance while consuming far less energy overall. This leads to cleaner air, a smaller carbon footprint, and a more resilient local energy system. By working together to make smart energy choices, we can keep costs down, extend the life of our infrastructure, and protect the environment, ensuring a brighter, more sustainable future for Traverse City.
Energy Optimization for Every Customer
TCLP offers Energy Optimization programs designed to help all customers save energy and money—whether you’re a homeowner, business owner, or part of a local organization.
Make your home more comfortable and efficient with upgrades that save energy year-round. Programs may include:
- Heating and cooling upgrades like cold-climate heat pumps and smart thermostats
- Appliance recycling programs for older, inefficient refrigerators or freezers
- Lawn equipment and e-bike incentives that replace gasoline powered tools and trips with cleaner, quieter electric options.
Businesses can take advantage of customized energy-saving solutions that lower operating costs and improve performance. Options may include:
- Prescriptive rebates for lighting, HVAC, and other efficient equipment
- Custom incentives for large-scale energy projects or process improvements
- Technical support to help identify and implement cost-effective upgrades
TCLP supports programs that make energy savings accessible to everyone. Special initiatives may include:
- No- or low-cost energy efficiency upgrades for qualifying customers
- Customized home energy assessments that pinpoint the most effective opportunities to save energy and improve comfort.
How your bill supports the program, and what you get back
To support Energy Optimization programs, a small surcharge is included on customer bills. This fee helps fund upgrades, incentives, and efficiency programs that directly benefit you and our community.
At TCLP, every dollar collected goes toward programs that help you:
- Save on your energy bills through more efficient appliances, tools, and heating/cooling systems. Improve comfort in your home or business
- Reduce environmental impact for our community by reducing use and emissions
Even a small surcharge can deliver significant savings and lasting benefits for you and our community.
How to Join Our Energy Programs
Explore Available Programs
Browse our programs and incentives for residential, business, and income-qualified customers. [Link to program details/forms]
- Incentives
- Customer Generation program
- Energy Coaching
- On-Bill Financing
Check Your Eligibility
See which programs apply to you—whether you’re a homeowner, business, or income-qualified household.
Apply or Contact TCLP
Submit your application online or reach out to our team for guidance. We’re here to help you take full advantage of the programs.
Program Oversight & Transparency
TCLP’s Energy Optimization programs are part of a regulated framework to ensure they deliver real benefits for customers and the community.
- Regulated by the MPSC: The Michigan Public Service Commission oversees all EO programs. Utilities submit detailed plans and must meet specific energy savings targets.
- Collaborative Stakeholders: Programs are developed and implemented with input from utilities, contractor partners, and evaluation workgroups to ensure efficiency and effectiveness.
- TCLP Commitment: Our programs follow this framework, guaranteeing transparency, accountability, and measurable benefits for our customers.
Who’s Involved:
- Traverse City Light & Power: Designs and manages programs
- Contractors & Vendors: Install upgrades and deliver services
- You, the Customer: Participate in programs to save energy and reduce costs
This approach ensures that every dollar invested in EO programs is tracked, effective, and beneficial to our community.
Contact and Resources
Ready to start saving energy and money? TCLP is here to help you explore available programs and incentives.
- Phone: 231-922-4940
- Email: Customerservice@tclp.org
Get Involved:
Participating in TCLP’s programs is easy—and every upgrade, rebate, or efficiency measure helps you save money, supports your community, and contributes to a more sustainable energy future.
For more details, you can review the full Michigan Public Service Commission report on Energy Optimization programs:
2009–2010 Projected Energy Optimization Programs PDF
Frequently Asked Questions
A: The small surcharge on your bill helps fund Energy Optimization programs that save energy, lower bills, and benefit the community. Every dollar supports incentives, upgrades, and initiatives that make energy use more efficient.
A: The programs are designed to benefit all customers, though energy savings vary by usage. The residential surcharge is volumetric – meaning it is based on how much energy you consume.
A: Businesses can access prescriptive rebates, custom programs, and technical support to reduce energy costs and improve efficiency. Large customers may also qualify for self-directed programs to manage their own energy savings initiatives.
A: TCLP provides programs specifically for income-qualified households to ensure everyone can participate and save.
A: TCLP tracks program results against statewide energy savings targets. These measurements ensure programs deliver real, measurable benefits to customers and the community.