Pricing and embedded credits/refunds

Electric distribution

Pricing for subdivisions will be done on a time and material line extension basis for all subdivisions. Preliminary estimates are available within a two-week time frame for budgeting purposes only. Final estimates are prepared when we are in receipt of final plans or plat of survey.

Additional Charges

  • Cost to obtain all easements and permits will be included in the cost of the distribution system.
  • If a sticker easement or a specific easement is not granted prior to lot sales, an additional easement charge will apply for each lot sold.
  • Excess distribution facility charges may be added to the estimated price, based on circumstances unique to the development. If these are encountered during installation, additional charges will be assessed after the installation is complete. Examples where excess charges could occur are:
    • Abnormal soil conditions.
    • Extreme rocky conditions requiring blasting.
    • Difficult accessibility.
  • When additional services are needed for the development (lighting, pump stations, etc.), an additional application may be needed, and related installation costs are separate from the development costs.
  • Relocation of existing electric facilities at the entrance of, or within the development, may be charged separately from the distribution system installation cost and requires payment prior to relocation. If relocation results in permanent removal of distribution facilities, additional forms must be submitted for approval by the Public Service Commission.
  • Route and major plan changes occurring during installation may result in delays and additional charges.

Quoted price for natural gas distribution system and associated work is valid 90 days from the quote date.

Electric Distribution Embedded Credits

The installation cost for electric distribution facilities must be paid prior to facility construction. The refundable portion is held in an account for five years. As electric meters are installed, we automatically issue refunds (embedded credits for each meter). We issue the embedded credits to the individual or business that paid for the development’s electric distribution facilities for up to five years, and up to the maximum amount of the original contribution. For details on the credits for your development, please contact your We Energies representative. A Social Security number or federal tax ID number is required in order for us to process your refund.

Natural gas distribution

Natural gas distribution pricing is based on total natural gas main footage installed. Distribution facilities are extended to developments with up-front payment of the facilities full cost.

Additional Charges

  • The cost to obtain all easements and permits will be included in the cost of the distribution system.
  • If a utility easement is not granted prior to the sale of lots, an additional easement charge will be apply for each lot sold.
  • Demolitions of natural gas facilities needed to make-ready a parcel for development is charged separately from the development costs.

Only cost feasible line extensions to developments will be constructed per Public Service Commission regulations.

Quoted price for natural gas distribution system and associated work is valid 90 days from the quote date.

Natural Gas Distribution Embedded Credits

Similar to embedded credits on the electric facilities, payments for natural gas facilities also are held for a period of five years. At least once per year, the account is reviewed. If gas meters have been installed in that development, refunds will be issued to the developer based on the number of meters set. A Social Security or federal tax ID number is required to process refunds.

Additional costs to customers building in the development

  • When transformers for lots are not installed with the electric distribution system, individual customers may have additional costs to install the transformers.
  • There could be additional charges to the customer based on the location of the electric transformer installations within the development.
  • Individual electric and natural gas service laterals to residences, buildings and services for the subdivision, (pumps, lighting, etc.) are designed and charged separately from the subdivision distribution system.

Seasonal charges

  • Additional costs for construction of electric and/or natural gas service and distribution facilities are charged from Dec. 1 through March 31.
  • To avoid seasonal charges, the development application must be received by Nov. 1, and all contingencies on the Ready for Service Card must be complete including permits and easements. A design lead time of at least 90 days prior to construction is needed.
  • After March 31, delays can occur due to a backlog of work from winter, wet and unpredictable spring weather, soil conditions in the development, and municipal road restrictions.