Electric Rates Jump After Trump Rejects Disaster Aid For Michigan Utilities

"The president denied the state’s request for federal aid to rebuild power lines after a fierce ice storm last March, a move that could force thousands of rural electricity customers to pay the entire tab."

"ONAWAY, Michigan — A recent decision by President Donald Trump to deny disaster aid to two electric utilities in rural northern Michigan could cost residents tens of millions of dollars.

The Oct. 22 denial is a striking example of how Trump’s cuts to disaster aid — and his vow for deeper reductions next year — threaten to shift billions of dollars in costs from federal taxpayers to households struggling to rebuild. In this case, it would hit a working-class region that voted overwhelmingly for the president last year, helping him win the crucial swing state.

Those households could now face thousands of dollars apiece in rate hikes to make up for the costs of rebuilding their communities’ electric grids after a three-day ice storm in March, utility officials and lawmakers warned."

Thomas Frank reports for E&E News November 25, 2025.

Source: E&E News, 12/01/2025