Understanding and Estimating Market Priced Power (MPP) Charges
The Market Priced Power Estimator is designed to help customers estimate potential MPP charges.
The Market Priced Power (MPP) Charge is a Michigan Public Service Commission (MPSC)-approved customer charge designed to compensate Detroit Edison for accommodating customers who need to return to Detroit Edison Full Service temporarily, without adequate notice, or before completing the Electric Choice minimum term. (For more information on Return to Full Service rules, click here ChoiceChanges.)
The MPP Charge is calculated on an after-the-fact basis, using published market prices, which vary hourly. For any MPP-eligible bill period where the average market price of power (in ¢/kWh) is greater than the fuel and purchased power costs of the Full Service rates, the customer pays the difference between the two, for all kWh used in that period. It is shown as an additional line item charge on their normal Full Service bill. In this way, their bill includes the market price paid by Detroit Edison to serve them.
To learn more about Return to Full Service and the MPP Charge, click here to view the fact sheet MPP Facts
To access the MPP estimator, click here Estimate MPP