Current Utility Rates

Utility Enterprise Rates

Steam and electric rates are established at levels to recover all operations and maintenance costs for generation and distribution, reserves for major repairs and replacements, debt, and fuels.

U-M Utility Enterprise Rates: FY22 FY23
Central Power Plant steam (per 1000 lbs) 16.110 17.400
CPP, North Campus, Ingalls electric (per kwh) 0.088 0.095

Direct-Purchased Utilities

Utilities purchases, manages, and processes all direct-purchased utilities, which are supplied and metered by an outside utility company and distributed directly to the university customer.  These prices fluctuate, and the rates below are our best estimates at this time.

Estimated Direct-Purchased utilities costs (Including charges): FY22 FY23
Water, Sewer & Storm (per ccu) 12.874 13.628
Natural Gas (per ccf) 0.365 0.503
Electric (per kwh) 0.089 0.090

Service charges are applied to direct-purchased utilities to recover overhead, university distribution maintenance, and targeted infrastructure improvements.

Service Charges on Direct-Purchased Utilities FY22 FY23
Administrative (on all utilities) 1 2.30% 2.40%
Green Power Initiative (PPA) Surcharge 2 3.00% 4.00%
Water, Sewer, Storm maintenance 3 17.50% 18.00%
Direct electric maintenance 0.40% 0.40%

1 Examples include salaries, office expenses, computer hardware and software, legal services, & MISS DIG.

2  The total annual Green Power Initiative Surcharge premium collected for FY23 remains stable from FY22.  Percentages may fluctuate year to year based on forecast campuswide utility usage.

Covers costs for infrastructure improvements and the replacement of aging piping.

Archived Utility Rates

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