Renewable siting bills signed that strip away true local input on how communities grow and change
The large-scale renewable energy facility siting bills—now Public Acts 233 and 234 of 2023—have been signed into law and will take effect on Nov. 29, 2024.
“These bills represent a continued attack on the ability for Michigan’s residents and their locally elected officials to have the final say on how their communities grow and change. The new laws simply do not create a balanced or equitable approach to our state’s renewable energy needs,” stated Neil Sheridan, MTA Executive Director. “Rather, the legislation unduly forces large, utility-scale renewable energy facilities into our rural areas, while also stripping away local input on where and how much should be located in a community. The new laws prescribe statewide, one-size-fits-all requirements, and negate current renewable energy zoning provisions already carefully and thoughtfully enacted in communities around the state.”
The legislation impacts solar projects in communities with a nameplate capacity of 50 megawatts or greater, wind projects with a nameplate capacity of 100 megawatts and energy storage facilities with a nameplate capacity of 50 megawatts or more. Smaller projects can continue to be addressed by local zoning ordinances.
If the threshold is at or above the above levels, a developer or utility is required to apply with the local unit of government IF the local unit has a “compatible renewable energy ordinance” that complies with statewide standards such as setbacks, decibel levels and height. A renewable energy ordinance is not considered compatible if it is more restrictive than the statewide standards or if the local unit has a moratorium in place. The local unit must then approve or deny the application within 120 days with a possible extension of up to 120 days ONLY if mutually agreed upon by the local unit and the developer. If the local unit denies or fails to act on the proposal, the Michigan Public Service Commission (MPSC) would then receive the application.
If a local unit does not have a “compatible renewable energy ordinance,” the developer will apply directly to the MPSC. Additionally, while MPSC shall consider the impact on the local land use, including the percentage of land within the local unit of government dedicated to energy generation, the legislation does not limit the overall land that can be utilized in a local unit for said purposes. Finally, a one-time $2,000 per megawatt payment is provided from the energy facility owner to the affected local unit for public safety and infrastructure purposes; however, both parties (the local unit and the energy facility owner) must agree on how the funds can be spent.
MTA will continue to work with our partners and experts to help navigate a path forward for our members and address the many unanswered questions and concerns that remain for local leaders and their residents. Watch for additional information in our Township Insights enewsletter, Township Focus magazine and on MTA’s website.