New Analysis: Repealing Michigan Clean Energy Policies Would Cost Families Thousands, Eliminate Hundreds of Thousands of Jobs

Contact: Emily Halvorson

As Michigan households face rising electricity costs and growing economic uncertainty, a new independent analysis from 5 Lakes Energy finds that rolling back the state’s 2023 clean energy package would cost households nearly $5.6 billion in higher energy costs by 2050. The analysis comes as Republicans on the Michigan House Energy Committee prepare to vote to repeal the state’s clean energy standard and energy waste reduction targets, and shows that these policies are critical to help manage costs and drive economic growth across the state.

Read the analysis here.

The full scope of projected impacts includes: 

• Higher energy bills: Michigan families would collectively pay $5.6 billion more in energy costs by 2050, or over $1,300 more per household.
• Massive job losses: Michigan would lose 572,000 job-years by 2050, including in fields like construction, manufacturing, and operations that clean energy investment is already creating. 
• Billions lost in economic growth: Repeal would cost Michigan $73 billion in GDP loss by 2050. 
• Worse public health outcomes: 3,200 additional premature deaths by 2050 and $26.9 billion in lost health savings, driven by increased air pollution from power plants. 

At the same time, federal actions are putting upward pressure on energy costs and constraining new supply—while forcing Michigan ratepayers to cover more than $615,000 per day for a coal plant regulators have said is not needed for grid reliability. With this federal mismanagement already costing households, Michigan cannot afford to roll back the very policies that are proven to lower costs, strengthen the energy system, and protect families from additional unnecessary expenses.

“Michigan families are already dealing with some of the highest utility bills in the country, and these policies are some of the clearest tools the state has to deliver tangible relief. Repealing the 2023 package doesn’t solve the affordability problem—it makes it worse, while handing a gift to the same special interests that have been raising rates on Michigan households for years,” said Courtney Brady, Evergreen Action Midwest advocacy director. “The governor and Senate should reject this effort and stand up for policies that lower costs, grow jobs, and build a stronger energy future for communities across the state.”

“Turning our backs on clean energy is a direct attack on Michigan families’ wallets. This analysis proves that repealing these common-sense laws would cost households thirteen-hundred-dollars while killing the very jobs that are powering our state’s future,” said Derrell Slaughter, an advisor to the NRDC Action Fund. “We cannot let polluter-funded interests force us backward into higher costs and dirtier air. Michigan leaders must choose; do they stand with families struggling to pay their bills, or will they sign off on a multi-billion dollar hit to our economy and our health?”

As state lawmakers consider the future of Michigan’s energy policies, this analysis underscores what is at stake. The current clean energy standards are delivering tangible benefits by keeping costs in check, creating jobs, and improving public health. Repealing them would not solve affordability challenges—it would deepen them, leaving Michigan families to bear the burden of higher costs and a weaker economy.

A fact sheet summarizing these findings is available here.