Electric Rates

Michigan regulators have agreed to let Consumers Energy charge residential customers more for electricity starting in July. The Michigan Public Service Commission says residents who buy power from the state's second-largest utility will see a rate increase of less than 2 percent starting next month. Business customers will get a break because they will not subsidize residential rates as much as before. Prices historically have been "skewed" by regulators so residents pay less than the actual cost of electricity, while businesses pay more. Regulators Tuesday opted to reduce the subsidy by 20 percent.Businesses have been lobbying the Legislature to fully eliminate the subsidy within five years.