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Public Service Commission okays new financial incentives workgroup

The commission created a new workgroup to look at performance-based regulation.

That could include using financial incentives or penalties to encourage reliable and safe service.

Commission chair Dan Scripps says the group will focus on issues like outages or downed power lines as part of a compromise.

“This reliability plus focus of incentives and disincentives is an effort to align how do utilities make money with the service and the performance of the grid that is ultimately delivered to customers.”

The work group’s final report is due by the end of the year.

Colin Jackson is a reporter for the Michigan Public Radio Network.