What is customer Generation?

The Consumer Energy Distributed Generation Program (CEDGP) has been a great success for Consumers Energy. The utility's goal was to deploy at least 1 MW of renewable power across its system by 2020, but they're already well ahead of schedule! Since the program began last year, CENM has deployed over 2.6 GW worth of renewables across their service territory. That includes an impressive amount of rooftop solar, including some installations that are generating 100% of their home’s electricity needs.

But what if the sun isn't shining or there aren't any rooftops nearby? What about all those old appliances sitting around collecting dust? Or maybe your business doesn't need as much electricity as it used to due to new technology and efficiency measures. Whatever the case may be, the CEDGP gives you options beyond just installing solar. You could even generate your own energy from excess wind or water resources right where you live.

What can you do with surplus electricity?

When you have extra electricity available, there are many ways to use it. Here are just a few examples of things you might want to consider doing with the extra juice: using it to run devices during peak hours when demand is high, charging electric vehicles, powering up equipment such as security cameras, heating/cooling systems and pool pumps.

Another option would be to put it into storage so you don't lose out on valuable time while waiting for the next sunny day. This way, you'll still get to enjoy the benefits of having green energy without being tied down to one source of production. Plus, storing energy means you won't have to pay for expensive batteries, which will save you both money and hassle.

You could also invest in a battery storage unit to store the excess electricity until needed. A battery-based solution offers flexibility because you can add capacity later on if necessary – something other forms of storage cannot offer. And since batteries allow you to regulate the flow of electrons between two terminals using current stored in them, you can easily create a steady stream of electricity that can then be drawn upon whenever you desire.

What can you do with excess electricity?

If you've got excess electricity stored away somewhere, chances are good that it's going to take up space. It's important to remember though that this kind of storage comes with costs associated with it. If you plan on keeping it indefinitely, you should expect to spend hundreds or thousands of dollars every month on electricity charges. But if you only intend to keep it for short periods of time, say days or weeks at most, then you might be able to cover these expenses through savings elsewhere. Alternatively, you could turn it into cash by selling it back to the local utilities.

In Michigan, Consumers Energy allows customers who participate in its Net Metering program to sell their excess electricity back to the grid. They receive credit toward future bills for the same period of time. Customers can choose whether to accept the credits or wait until the end of the billing cycle before sending the payments. In either case, the process takes place automatically. There is no fee involved.

Can you make money selling electricity back to the grid?

Selling back to the grid is a viable option if you'd rather avoid paying monthly fees for additional storage units. However, if you decide to opt for that route instead, you must first determine exactly how much income you'd like to earn before investing in a battery storage device. Then you need to calculate the value of the electricity you produce versus the cost of the battery itself. It's also crucial to weigh the pros and cons of each method against your overall goals.

For example, if you think you'll eventually be ready to retire and move onto a fixed income, perhaps you shouldn't count on earning a substantial revenue from selling excess electricity back to the grid. Instead, you might be better off saving all that money now and banking it away for retirement. On the flip side, if you see yourself working for years to come and feel confident that you'll never fall behind on your mortgage payment, then you probably wouldn't mind spending $500 per month on electricity while making back less than half of that sum through sales.

Where does excess energy go?

While we discussed several different ways to utilize excess electricity, we didn't talk about where it goes after it leaves your hands. One thing you should know is that you might not always be guaranteed a return trip to the grid. After all, excess electricity generated during certain times of the day may simply not match up with consumption patterns when it's finally delivered. So it's possible that part of the supply could sit idle forever.

That said, if you're interested in generating your own electricity, you can usually find information online about the best places to connect to the electrical grid in your area. You'll likely need to check with authorities to ensure that any proposed installation meets regulations regarding safety standards and environmental protection.

There are also plenty of incentives offered by various states to encourage people to install renewable sources of energy. These include tax breaks, grants and rebates, among others. Many companies offering residential solar panel services will work directly with state agencies to help facilitate applications. This makes getting started easier than ever.

Customer Generation is another step forward for Consumers Energy. Not only did it exceed expectations, but it also provided a wealth of opportunities for businesses and individuals looking to tap into clean, renewable energy. With the continued support of our customers, we look forward to bringing even more innovative solutions to market.

Customer generation

Customers have embraced this opportunity with enthusiasm, bringing in new revenue streams from the sale of excess energy back to the grid.

Generating revenue through customer-generated energy

One example of customer-generated energy comes from a residential customer who installed a 5 kW solar array on his house. He sells all of his surplus energy back to Consumers Energy each month as part of his contract. In total, he generates enough energy to cover about half of his monthly electric bill. This arrangement allows him to use less expensive energy during off peak hours while still having access to the grid when it’s needed most.

Another interesting aspect of using distributed generation technologies in your own backyard is that these systems can also be used to generate income without any upfront costs. There are several ways to do so, such as selling excess energy back to the grid or paying others to consume the generated energy.

Consumers Energy is currently working on a pilot project where customers will earn credits based on the amount of clean energy they produce. They'll receive credit for every kilowatt hour produced beyond what they need. These credits can then be redeemed through the purchase of other services.

How Customers Benefit From Generated Electricity

Reduce your carbon footprint.

Replace costly fossil fuels with low cost green energy.

Create additional jobs – especially those involving installation and maintenance.

Increase reliability of our electrical distribution network.

Improve air quality and reduce smog levels.

Lower water bills.

Support local economy.

Consumers Energy has a problem. They've been buying too many megawatts from their utility provider Xcel Energy for years now, but they're still losing money on each one. And it's only getting worse as the price of wholesale electricity rises.

The solution that seems obvious at first glance -- cut your losses and just stop buying so much power! -- actually isn't. Consumers Energy already tried this approach with an unsuccessful pilot project called "Directive Consulting" which was supposed to reduce costs by encouraging people to disconnect from the grid during peak demand times whenever possible. The results were disappointing because the participants simply didn't follow through.

Now, the Michigan Public Service Commission (MPSC) is considering whether or not to force Consumers Energy to install new meters on all of its homes and businesses to better measure what they consume. This would be done under a program known as Consumer Generated Solar Power, where Consumers Energy could offer rebates for installing rooftop solar arrays and other forms of renewable resources. It sounds great in theory, but there are some serious issues with this plan that need to be addressed before it gets off the ground.

The bottom line is that if you don't have enough data about your own consumption habits then you won't know when you should turn down the thermostat or start running your dishwasher later than usual. That means you'll end up wasting energy when you really want to save it. But even if you had perfect information about how much power you used every hour of everyday, you'd still face problems if you wanted to take advantage of any kind of distributed generation, such as solar power, wind turbines, fuel cells, electric cars, etc.

If you're interested in learning more about how these kinds of programs work we suggest checking out our article explaining why utilities will never compete against Tesla. In addition, here's a video I made showing how Consumer Energy's current distributed generation initiative works.

As mentioned above, Consumer Generated Solar Power (or CGS) is a potential solution to the problem of over-purchasing from Xcel Energy since it allows Consumers Energy to charge more for those excess kilowatt hours while offering rebates to offset installation costs. However, there are several major concerns regarding this proposal. Let's look at them individually below.

What is the cheapest time of day to use electricity?

There are two ways to generate revenue from selling surplus electricity to third parties. One method is to set prices based on peak load periods, which occur roughly twice per year. If you're generating most of your electricity during these peaks, you can make a lot more money charging higher rates than normal. You might also see lower rates during nonpeak times. In either case, you win. But the second way to collect fees is to pay less during low-demand periods, especially overnight. Unfortunately, that doesn't always happen without a little help.

You see, the utility companies that provide power to us often rely heavily on fossil fuels to produce energy. Most of this comes from coal plants located near population centers. Coal burns hot, releasing lots of heat into the air via natural gas combustion. When temperatures rise outside, the temperature inside goes up as well. As a result, the amount of water vapor in the atmosphere increases, causing clouds to form. Clouds reflect sunlight away from earth, cooling things down.

When the sun shines brightly on Earth, the air becomes saturated with moisture, creating a phenomenon called evaporation. Water evaporates from bodies of water and land surfaces, including lakes, rivers, oceans, and snow fields. Evaporative cooling reduces humidity levels in the atmosphere, making it easier for cloud formation to begin. Once clouds form, they act as insulators between the cold surface of the planet and the warm upper layers of the atmosphere. During cloudy weather, solar radiation cannot penetrate deeply into the atmosphere and reach the surface, limiting the amount of heating caused by direct sunlight.

This cycle repeats itself throughout the year, resulting in alternating seasons of high and low pressure systems. These systems cause changes in atmospheric circulation patterns, which affect global climate patterns. It turns out that human activity causes greenhouse gases in the atmosphere to increase significantly compared to preindustrial conditions. Since greenhouse gases trap long wave infrared radiation emitted by Earth’s surface, this warming effect raises average temperatures worldwide. A warmer climate leads to increased evaporation, which further contributes to rising sea levels and melting polar ice caps.

When you consider all of these factors together, it's easy to understand why it's important to manage carbon emissions carefully.

So now let's talk about the cost of electricity. According to EIA data collected in 2016, the average residential bill across the US came to $0.12 per kWh. Meanwhile, the average retail rate for electricity in Michigan was around 6 cents/kWh. So, according to the numbers, if you saved 1% of your household energy usage, you'd earn almost $100 annually. Not bad!

But wait... what about the rest of the world? According to EIA data collected in 2015, the average residential bill across Europe came to 0.10 Euros / kWh. Meanwhile, the average retail rate for electricity in Germany was around 2 euros / kWh. So, again according to the numbers, saving 1% of your household energy usage would earn you almost $200 annually. No wonder Germans love renewables!

And even though your home might seem small compared to countries like China or India, if everyone did the same thing you'd collectively save nearly $2 billion dollars per year. Imagine if we started doing something about the climate crisis instead!

Of course, saving money isn't the only reason to go green. We live in a society governed by capitalism, which values economic growth above everything else. While most of us agree that environmental degradation shouldn't come at the expense of profits, it's hard to ignore the fact that cheap energy makes it cheaper to build factories, offices, malls, roads, highways, pipelines, dams, oil rigs, refineries, mines, and more. Cheap energy is essential to modern civilization.

To put it another way, the best way to solve the climate crisis is to eliminate poverty. By providing clean, affordable energy to the developing world, we prevent millions of deaths due to pollution and disease. Plus, when people no longer have to spend half their income on basic necessities, they're able to afford products that aren't going to destroy their environment.

That being said, the biggest obstacle facing consumers who wish to purchase solar panels is the upfront expense. Fortunately, there are plenty of options available today that allow homeowners to finance solar installations using tax credits, loans, leases, and grants. There are also companies that specialize in helping individuals develop solar projects for profit.

Finally, remember that although it may feel good to recycle paper, plastic bottles, aluminum cans, batteries, and electronics, recycling does nothing to decrease carbon dioxide emissions. Recycling requires additional processing steps and transportation costs, thus adding to the overall impact that humans have on the environment. Instead, we recommend reducing waste production wherever possible, investing in public transit infrastructure, and driving electric vehicles instead of gasoline powered ones.

These suggestions sound simple, but they are anything but. Even though we can't completely avoid burning fossil fuels forever, we can certainly try to minimize the damage that humanity inflicts upon the planet. After all, we owe Mother Nature a debt far beyond the value of her services.

When it comes to energy efficiency for your business or home, there are a number of different options available today. Consumers Energy offers one such option -- their Consumer Solar Program (CSP). It's an easy way for residential and small commercial customers to generate power from clean sources, while also saving money and helping the environment at the same time. And they've made it even easier by making CSP available nationwide.

If you're interested in finding out what Customers Energy has to offer, read our guide below! We'll walk through some basics about how CSP works, explain how CSP benefits both businesses and homeowners, and show you just how easy it is to get started with this new opportunity.

How can renewable resources use surplus energy?

One common misconception when it comes to using Renewable Resources (like wind turbines) is that if the wind blows too fast or strong, it won't be able to do its job properly. In reality though, the opposite is true. A high-quality turbine will actually produce more energy than necessary because it uses less material to build itself. The extra energy left over gets turned into heat which keeps things running smoothly.

Since renewables require no fuel and don’t pollute, we have the ability to use them whenever possible. This means that as long as there’s enough sun shining, wind blowing, water flowing, etc., then so many other people can benefit as well.

The key point here is that these types of resources aren’t limited by human needs. They work regardless of whether a person wants to use them or not — which is why they make perfect sense for anyone who doesn’t want to rely on fossil fuels for their energy supply. If you enjoy the idea of having access to green energy all day every day, you should definitely take advantage of any opportunities available to you.

How much does Consumers Energy pay per kWh?

In order to calculate the cost of generating your own power, you need to know two important numbers – your monthly bill and kilowatt hours used. You can find both of those figures right on your utility bills. To give you an example, let’s say you normally consume 1,000kWh of electricity each month and your average monthly rate is $100/month. That would mean you spend around $1,000 per year on utilities alone. Now imagine if you could save around $600 on that amount without changing anything else. Sounds pretty good, huh?

You might think that it costs nothing to generate your own power since you already have everything you need. However, there are still expenses involved. Depending on where you live, you may have trouble finding quality equipment that generates power efficiently. You may also need to invest some money upfront to buy the appropriate infrastructure needed to connect to the electrical system. Plus, you’ll have to figure out how to store excess power produced during peak times. These are all considerations worth taking into account before deciding to go down this path.

On top of all that, you’ll probably have to deal with some initial challenges regarding getting approval from local authorities. Even if none of that sounds particularly appealing, remember that the alternative is simply paying higher rates for someone else to provide you with the service. So if you’re willing to put up with a few headaches, then consider yourself lucky.

Is Consumers Energy charging 50% more?

No, you’ve got us there. There are plenty of ways to save money on your electric bill, but most of them involve cutting back somewhere. While that certainly makes sense, sometimes it feels better to cut something completely instead.

For instance, suppose you decide to install a large solar panel array on your roof. After the installation process is complete, you’ll receive a notice stating that your meter is now being charged at full capacity. What happens next depends entirely upon where you live. But in general, you’ll either have to pay additional fees or sign a contract agreeing to continue paying higher charges until the end of your lease period.

That might sound bad, but it’s really only fair considering the fact that you invested quite a bit of cash in the project. As far as we’re concerned, everyone deserves a chance to recoup his investment.

What is Consumers Energy charge?

As mentioned above, Consumers Energy provides several programs that allow individuals and companies alike to participate in sustainable solutions. One of these initiatives is known as the "Customer Generated Supply" program. Basically, it allows participants to purchase electricity generated by others rather than consuming it themselves.

This type of arrangement isn’t exactly new. Back in the 1980s, California residents began signing contracts with PG&E to offset their consumption with the help of a state rebate program called Net Metering. Since then, similar arrangements have been implemented across the country. However, the latest initiative puts the focus squarely on renewable resources and offers a number of advantages.

First off, the entire concept revolves around the notion of demand response. Instead of trying to convince people to reduce their usage, the goal is to encourage increased production wherever possible. On top of that, the program encourages participation from various stakeholders including non-profits and community organizations. Finally, it gives participating facilities an incentive to increase production throughout peak times. All of these factors combined create a very powerful combination.

It’s hard to deny that the future of energy looks bright. Whether you choose to become part of the solution or opt to stay stuck in the past remains largely dependent upon your personal situation. Fortunately, there’s never been a better time to start thinking outside the box.

Customer generation

The idea behind this program was simple - let people take advantage of solar panels that can be installed on their roof, then make electricity affordable so that everyone could use them.

"We're excited about our new consumer-focused initiative," said David Smith, vice president of marketing and communications at Consumers Energy. "Our goal with the program is to give consumers another opportunity to save money with cost effective ways to help cut down on carbon emissions."

But what does it mean when you say something has been simplified?  Does it really matter if you have fewer steps in place? Does it actually make a difference whether you get things done faster? The answer is yes, because simplifying anything means better results.  It doesn't necessarily mean less work, but rather better results.  And since Customers Energy wanted to know why its customers were choosing to participate in the program, we decided to dig into the numbers.

In order to understand the effects of Customer Generation, we first had to find out exactly what type of data it generated. We found out that it didn’t just measure the total amount of sales, but instead focused specifically on the sales through the website, mailings, email blasts, and phone calls. In other words, it measures the success of each individual marketing campaign, which makes sense given that it’s all part of the whole process of getting more customers.

How much did the program increase revenue?

As expected, the company reported significant increases in both monthly revenues and annual revenues as well. From January 2013 until March 2014, the average monthly