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Utilities · Solar in Michigan

Consumers Energy: how it credits the solar power you send to the grid

Outflow credits at the power-supply rate: about 8 to 16 cents per kWh, depending on the rate plan and time of day.

Checked November 12, 2026. Utilities change these rules; check the current tariff before you sign.

12¢ (est.)Credit per kWh exported
Reduced credit (net billing)How exports are credited
20.0¢Average price of power in Michigan (2025)

How it works

Consumers pays 8 to 16 cents depending on plan and hour; we use the middle, about 12 cents. That estimate is about 60% of Michigan's average electricity price.

Consumers Energy, serving much of Michigan's Lower Peninsula outside Detroit, uses the same inflow/outflow method as DTE.

Summer peak hours pay the most for outflow on its time-of-use plans.

Outflow credits offset charges on later bills.

If your system makes more than you use over a month, the outflow credit carries forward as a dollar amount, not as kWh.

What it means for a typical Michigan home

An average Michigan home uses about 7,620 kWh a year. A 5.5 kW system costs about $14,135 at the 2026 median price and makes about 7,101 kWh in its first year, of which we assume about 4,260 kWh goes out to the grid because no one is home to use it.

First-year savingsPayback25-year savings, after the price
With Consumers Energy's credit$1,08014 years$17,782
If every exported kWh earned the full price$1,42210 years$28,723

The difference, about $10,940 over 25 years, is what Consumers Energy's rules cost a typical system compared with full net metering. Using more of the power at home, while the sun is up, closes some of that gap. Uses Michigan's average electricity price; Consumers Energy's own prices may be higher or lower. Paid in cash, no federal credit, prices rising 2.5% a year, one inverter replacement.

Check a quote for MichiganRun your own payback

Also in Michigan: DTE Energy (10.9¢ (est.)).

All 55 utilities · Solar in Michigan · Lease and PPA terms by company

Sources: Palmetto: Michigan utility guide; U.S. Energy Information Administration (EIA), final 2025 data: Annual State Historical Spreadsheets (Form EIA-861, released October 7, 2026) and Electric Power Annual (October 21, 2026); EnergySage: median quoted price, first half of 2026.