LANSING, Mich. (Michigan News Source) If you have listened to some in the mainstream media lately, you’d think Michigan – and some other parts of the country – are on the verge of an energy apocalypse, with residents huddled in the dark, rubbing sticks together for warmth – all thanks to Trump’s tariffs on Canada, including energy which is levied at a rate of 10%.
The latest freakout centers around Ontario’s retaliatory threat of a 25% surcharge on electricity exports to the United States which according to some media doomsayers in the state, means that the power bills of Michiganders are about to skyrocket – or worse, the lights will go out entirely if Ontario Premier Doug Ford follows through on his threat to cut energy to the United States.
Utilities to media: calm down, please.
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However, before you panic-buy candles and crank up your generator, let’s check in with the major energy companies in Michigan – the ones that actually run the grid so that their consumers can keep the lights on. DTE Energy and Consumers Energy don’t seem too bothered according to a report by Fox 47 News.
Turns out, Michigan doesn’t rely all that much on Canadian electricity, and most of our power comes from sources right here in the state.
For those who want to check out actual facts, here are statements from the main utility companies in the state:
From Lansing Board of Water & Light:
“We do not buy or receive power from Ontario, and therefore this is not a concern for BWL.”
From Consumers Energy:
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“On the electric side of the business, we don’t import from Canada. Any net interchange purchases are done through MISO. Additionally, on the generation side (fuel for plants) comes from entirely within the United States. Natural Gas purchases are different because we can interconnect with Ontario but only if it makes economic sense for our gas customers. We are not dependent on Canadian supply on the natural gas side of the business. We will continue to monitor the developments on this issue and take steps to keep costs affordable for our customers.”
From DTE Energy:
“DTE continues to monitor the evolving tariff policies with Canada. We self-generate the majority of electricity required to serve our customers’ needs, with the small amount that we do purchase coming from the United States. Regarding natural gas, the vast majority of DTE’s natural gas is sourced within the United States and our buying strategy and unique geography in Michigan allow us to purchase and store natural gas ahead of when our customers need it to help mitigate pricing concerns. As always, we remain focused on providing the safe, clean, reliable and affordable energy our customers across Michigan expect and deserve.”
Energy lifeline intact.
Michigan News Source also contacted Enbridge about the situation. They are a Canadian multinational pipeline and energy company headquartered in Calgary, Alberta. While primarily focused on oil and gas transport, the company also has some involvement in renewable energy and power transmission projects.
Even if Canada “shuts off” energy to the U.S., light crude oil and natural gas liquids would likely continue flowing through Enbridge’s Line 5 due to the 1977 Transit Pipelines Treaty. This agreement between Canada and the U.S. ensures uninterrupted pipeline transport, barring exceptions for safety or environmental regulations applied fairly. It goes on to say that “No public authority in the territory of either Party shall institute any measures, other than those provided for in Article V, which are intended to, or which would have the effect of, impeding, diverting, redirecting or interfering with in any way the transmission of hydrocarbon in transit.”
Line 5 plays an essential role in providing the comforts of home for Michigan residents, particularly those in non-urban areas. It serves about 55% of statewide propane needs and 65% of the needs in the Upper Peninsula.
Enbridge Spokesman Ryan Duffy said in a statement about the current situation, “Canada and the U.S. share a highly integrated energy system and markets that support economies and jobs on both sides of the border. Energy flows across the border provide critical fuel and feedstock to both the U.S. and Canadian economies. We are prepared to work with governments on both sides of the border to discuss what we can do as North America’s largest energy transportation company to ensure that both countries continue to have access to the affordable energy.”
Doomsday reporting not entirely accurate.
So, while some in the media are spinning tales of a tariff-triggered blackout apocalypse, Michigan’s energy reality appears to be firmly grounded. Our utilities aren’t sweating Ontario’s threats – our power’s mostly homegrown, and treaties like the 1977 Transit Pipelines agreement should keep critical resources in Line 5 flowing.
