Consumers Energy Company ("CEC")

Consumers Energy Company (“CEC”) is the principal subsidiary of Jackson-based CMS Energy Corporation and is Michigan’s largest energy provider, providing electricity and/or gas to almost 7 million of the state’s 10 million residents in all 68 counties in the Lower Peninsula. CEC provides electric service to 1.9 million customers. CEC operates five coal-fueled generating units, two oil/gas-fueled and six gas-fueled generating units, 13 hydroelectric plants, a pumped storage electric generating plant, four wind-powered energy parks, four solar photovoltaic generation systems and several combustion-turbine plants that produce electricity when needed during peak demand periods.

CRA International (“CRA”)

CEC has retained Charles River Associates (“CRA”) to manage the RFP process on behalf of CEC for the purpose of creating the RFP and soliciting responses. CRA will also serve as an independent third party to evaluate all proposals on behalf of CEC.

Requests for Proposals

Pursuant to the identified need in Consumers Energy Company’s (“CEC”) 2021 Integrated Resource Plan, CEC, in collaboration with Charles River Associates serving as the RFP Manager, has developed a draft RFP to solicit up to 700 Zonal Resource Credits (“ZRCs”) of capacity and associated energy and renewable energy credits (“RECs”), if applicable, starting on May 31, 2025 for the 2025 Planning Year. The two Tranches solicited under this RFP include:

  • Tranche 1: Targeting 500 ZRCs of capacity and associated energy and RECs, if applicable, from PPAs with terms up to 10 years, at the discretion of the bidder. This tranche will seek dispatchable, non-intermittent generation capable of dispatching up or down in every hour of the year in response to wholesale energy market signals, providing capacity which meets the Local Clearing Requirement of MISO Zone 7.
  • Tranche 2: Targeting 200 ZRCs of capacity and associated energy and RECs, if applicable, secured from unaffiliated third parties via PPAs or other third-party agreements that do not result in CEC ownership with terms from 12 years up to 25 years, at the discretion of the bidder. This tranche will seek intermittent resources and dispatchable, non-intermittent clean capacity resources (including battery storage resources), providing capacity which meets the Local Clearing Requirement of MISO Zone 7 for the duration of the contract length.
The draft RFP documents have been posted to http://www.Consumers-RFP.com for stakeholder review. In addition, a pre-RFP meeting has been scheduled for 4PM EPT, August 30, 2022. To register for this meeting, please navigate to the following address here.

During the meeting, the RFP Manager and CEC will present:
  • The minimum eligibility requirements for respondents and resources.
  • Detail regarding the evaluation factors that are considered.
Stakeholders are welcome to present their questions during the pre-RFP meeting. Written comments with regards to the RFP are requested no later than September 9, 2022 addressed to the RFP Manager at Consumers-RFP@crai.com. The following table contains the proposed RFP timeline:

STEPTIMETABLE
DRAFT RFP PACKAGE RELEASED TO STAKEHOLDERS August 19, 2022
PRE-RFP STAKEHOLDER MEETING 4PM EPT, August 30, 2022
COMMENTS DUE ON DRAFT RFP FROM STAKEHOLDERS September 9, 2022
RFP ISSUED September 29, 2022
RFP WEBINAR/INFORMATION SESSION 1:00 p.m. EPT, October 13, 2022
NOTICE OF INTENT DUE 5:00 p.m. EPT, October 21, 2022
NON-DISCLOSURE AGREEMENT AND PRE-QUALIFICATION DUE 5:00 p.m. EPT, November 11, 2022
PROPOSAL DUE DATE 5:00 p.m., EPT, December 2, 2022
PROPOSAL EVALUATION COMPLETION TARGET February 28, 2023
ENTER INTO DEFINITIVE AGREEMENT PHASE April 2023 (tentative)