Detailed distribution system plan (DSP)
This page provides an overview of the distribution system plan (DSP), including its importance and the key concepts involved. As a regulated electric utility in Michigan, Upper Michigan Energy Resources (UMERC) is committed to maintaining a safe and reliable electric distribution system while meeting the requirements set by the Michigan Public Service Commission (MPSC). Our DSP outlines our long-term strategy for investing in and maintaining the distribution system to serve our customers effectively.
What is a DSP
A DSP is a comprehensive, forward-looking plan that regulated electric utilities in Michigan must file with the Michigan Public Service Commission (MPSC). It details a utility’s five-year investment and maintenance plan for the electric distribution system. These plans provide advanced transparency into how utilities will address aging infrastructure, emerging technologies and customer needs. The goal is to enhance the overall performance of the distribution system while incorporating stakeholder and customer input and aligning with state energy goals.
DSPs are required for regulated electric utilities, such as UMERC, and are filed every three years to allow for ongoing review and updates. UMERC’s first DSP is scheduled to be filed with the MPSC on Jan. 30, 2026.
Key objectives
The MPSC has outlined four primary overarching objectives for DSPs to guide utility planning:
- Safety: Ensuring safe operations and infrastructure.
- Reliability and resiliency: Minimizing outages and enhancing system robustness.
- Cost-effectiveness and affordability: Balancing necessary investments with customer affordability.
- Accessibility: Supporting customer and other stakeholder integration with the grid and planning efforts.
Utilities may also incorporate additional goals, such as environmental sustainability or grid modernization, to align with broader state initiatives.
Core components
The DSP includes several key areas that provide a comprehensive view of the distribution system and future planning needs.
- System overview: Historical and current data on asset health (e.g., age, condition, failure rates, etc.), reliability metrics (e.g., SAIDI, SAIFI, CAIDI) for measuring outage frequency and duration, safety incidents, and past spending on operations and maintenance (O&M) and capital projects.
- Forecasts and projections: Outlooks for reliability, spending, workforce needs and changes in operations. This includes projections for electrification trends, grid modernization and resilience enhancements.
- Investment and action plans: Detailed strategies for infrastructure upgrades, grid modernization, resilience programs and affordability analyses (e.g., rate impacts by customer class).
- Data and analysis: Supporting charts, tables and maps.
Stakeholder engagement
Engagement is a focus of the DSP process, ensuring customers and other stakeholders are able to provide input along the way. There are many ways the public can participate:
- Pre-filing outreach: UMERC will host in-person and virtual open houses to discuss issues, potential solutions and the DSP.
Tuesday, Nov. 18
2 p.m. Central time (3 p.m. Eastern)
6 p.m. Central time (7 p.m. Eastern)
Recreation Lanes
1555 N. Stephenson Ave.
Iron Mountain, MI 49801
Wednesday, Nov. 19
2 p.m. Central time (3 p.m. Eastern)
6 p.m. Central time (7 p.m. Eastern)
Best Western Riverfront Inn
1821 Riverside Ave.
Marinette, WI 54143
Feedback can also be submitted through UMERC’s DSP survey that will be available until Nov. 28.
Begin survey - Post-filing comments: Members of the public can submit written comments in the MPSC docket where UMERC’s DSP is filed.
UMERC’s electric distribution system
The electric distribution system is the network of infrastructure that delivers electricity from high-voltage transmission systems to end-use customers, such as homes and businesses. It consists of substations, transformers, power lines and other equipment that step down voltage levels to safe, usable levels for consumers.
UMERC owns, operates and maintains over 3,000 miles of electric distribution in the Upper Peninsula of Michigan. We are committed to providing reliable electric service while maintaining the safety and integrity of our system.
UMERC uses industry-standard reliability metrics based on Institute of Electrical and Electronics Engineers standard 1366-2012 (IEEE Guide for Electric Power Distribution Reliability Indices). A sustained outage is an outage greater than five minutes in duration.
SAIFI – System Average Interruption Frequency Index
- The average number of times a customer experiences a sustained interruption.
- A SAIFI of 1.0 means a customer would experience an average of one interruption a year, while 0.50 would mean an average of one interruption every two years.
SAIDI – System Average Interruption Duration Index
- The average minutes of outage for all customers served.
- A SAIDI of 60 minutes means a customer would experience a total average of one hour of interruption a year.
CAIDI – Customer Average Interruption Duration Index
- The average minutes of outage for customers who experience an outage.
- A CAIDI of 100 minutes means that if a customer experiences an interruption, the average duration would be 100 minutes.
- UMERC uses CAIDI to measure performance during major storm events.
More information, including the most recently available reliability metrics for UMERC, can be found at the MPSC’s website.
Planning for necessary system improvements
Reliability is a key area of focus as we deliver electricity across more than 3,000 miles of overhead and underground lines. Between 2025 and 2029, UMERC will be investing in its distribution system to help address aging electric infrastructure, bury power lines and further our system hardening against severe weather.
Through a multiyear Energy Delivery Program, we are implementing new capabilities and standard processes for customer service, operations, work management and field operations. Improvements are underway for our outage management, geographic information system, and work and asset management systems, as well as implementations of new capabilities through advanced distribution management systems and GPS as-built drawing tools. Using common systems and processes reduces costs, provides greater flexibility and enhances the consistent delivery of exceptional service to customers.
Advanced metering infrastructure (AMI) technology — now our company standard — creates two-way communication between your meter and our billing system, and provides up-to-date electric meter reading for billing, outage monitoring and other diagnostics. UMERC began its transition to AMI in 2020 and has achieved 100% deployment across its electric service area.
Find out more about UMERC’s AMI technology.
UMERC’s next distribution plan is scheduled to be filed with the MPSC on Jan. 30, 2026.