Lansing Board of Water & Light (BWL) Rate Selection Guide

Lansing Board of Water & Light (BWL) is Michigan's largest municipal electric utility, serving roughly 100,000 electric customers across greater Lansing. BWL has deployed ~158,000 AMI smart meters and offers daily and hourly usage in its Customer Self Service portal, but does not yet support Green Button, EDI, or programmatic APIs.

Michigan · Municipal Utility·Regulated market·Fully supported by Nectar·Last updated June 4, 2026

Lansing Board of Water & Light (BWL) Rate Schedule Comparison

ScheduleTypeRateBest For
Small Commercial (SC1)Commercial$0.1617/kWh summer, $0.1578/kWh winter + $38/mo basicSmall single-phase businesses
Midsize Commercial (MC1)Commercial$0.1491/kWh (0-5,000 kWh summer) + $15.50/kW demand + $75/mo basicThree-phase mid-size facilities with demand
Midsize TOU (MCTOU)CommercialOff-peak $0.0742/kWh summer; on-peak $0.2771/kWh + $14.00/kW demandFacilities able to shift load off-peak (10am-6pm peak)
Large C&I (LC1) / Extra Large (XL1)IndustrialDemand + energy per FY2025-26 Business Electric rate bookLarge and extra-large industrial loads
01

Market Overview

BWL is a municipally-owned utility whose rates are set by its Board of Commissioners rather than the Michigan Public Service Commission. Michigan's retail open access program (capped at 10% of load) applies only to investor-owned utilities, so BWL C&I customers take bundled service with no competitive supplier choice. There is no community choice aggregation.

Market Type
Partially Deregulated
Supplier Choice
Not Available

Need to pull your actual usage data to compare rates? See the Lansing Board of Water & Light (BWL) Data Access Guide →


02

Current Rate Schedules

BWL's commercial and industrial electric rates are set by its Board of Commissioners and published in the FY2025-26 Business Electric rate book. The figures below are verified from that document. A two-year strategy raised average electric rates 6.95% (Oct 1, 2024) and 6.00% (Oct 1, 2025). Rates are seasonal (summer June-Sep, winter Oct-May). Larger LC1/XL1 industrial schedules exist; their per-unit charges are published in the rate book.

Effective: October 1, 2025 · Full Tariff Book →

ScheduleTypeApplicabilityStructureRate
Standard Small Commercial (SC1)commercialSingle-phase secondary service through one meter, any purpose.Basic service charge $38.00/mo. Energy: $0.1617/kWh (summer, Jun 1-Sep 30); $0.1578/kWh (winter, Oct 1-May 31).
Off-Peak Savers Small Commercial (SCTOU)commercialOptional single-phase secondary TOU rate.Basic charge $38.00/mo. Summer on-peak (10am-6pm) $0.2976/kWh, off-peak $0.1388/kWh. Winter on-peak $0.1901/kWh, off-peak $0.1410/kWh.
Standard Midsize Commercial (MC1)commercialThree-phase secondary service through one meter.Basic charge $75.00/mo. Demand $15.50/kW (summer) / $14.00/kW (winter) for kW above 15 kW. Energy summer $0.1491/kWh (0-5,000 kWh), $0.1198/kWh (over 5,000); winter $0.1436/kWh (0-5,000), $0.1154/kWh (over 5,000). Power-factor penalty up to 10% below 0.850 PF.
Off-Peak Savers Midsize Commercial (MCTOU)commercialOptional three-phase secondary TOU rate.Basic charge $75.00/mo. Demand $14.00/kW of maximum demand. Summer on-peak (10am-6pm) $0.2771/kWh, off-peak $0.0742/kWh; winter on-peak $0.1516/kWh, off-peak $0.0768/kWh. Power-factor penalty up to 10% below 0.850 PF.
Standard Large Commercial & Industrial (LC1)industrialLarge commercial and industrial accounts; standard, TOU (LCTOU), high-load-factor (LCHLF), EV (LCEV), and standby (LC1STBY) variants available.Demand- and energy-based rate published in the FY2025-26 Business Electric rate book (per-unit charges in the tariff document).
Extra Large Industrial (XL1)industrialExtra large industrial accounts; standard, high-load-factor (XLHLF), and economic-development (EDHLF, EDM market-based) variants.Demand- and energy-based rate published in the FY2025-26 Business Electric rate book (per-unit charges in the tariff document).

03

Rate Recommendations by Use Case

🏢

Three-phase midsize facility with demand

Manage peak demand and power factor on MC1, where demand is $15.50/kW (summer) above 15 kW.

Recommended:
Standard Midsize Commercial (MC1)Midsize High Load Factor (MCHLF)

Demand and the power-factor penalty are the largest controllable costs once a facility moves to three-phase MC1 service.

Tips:
  • Track hourly usage in the portal to find peaks
  • Add capacitor banks to keep PF >= 0.900
  • Compare MC1 vs MCHLF if your load factor is high
Est. monthly: ~$0.1491/kWh (first 5,000 kWh summer) + $15.50/kW demand + $75 basic

Facility with flexible / shiftable load

Adopt time-of-use (MCTOU/SCTOU) and move load out of the 10am-6pm peak.

Recommended:
Off-Peak Savers Midsize (MCTOU)Off-Peak Savers Small (SCTOU)

MCTOU summer off-peak energy (~$0.0742/kWh) is far below on-peak (~$0.2771/kWh), so shiftable load earns large savings.

Tips:
  • Identify schedulable processes (charging, pumping, batch work)
  • Automate to avoid the 10am-6pm window
  • Validate savings against your hourly usage profile
Est. monthly: Off-peak ~$0.0742/kWh summer; on-peak ~$0.2771/kWh + $14/kW demand
🏭

Large / extra-large industrial load

Engage BWL Business Development to select among LC1/XL1 standard, TOU, and high-load-factor options.

Recommended:
Large C&I (LC1 / LCHLF)Extra Large Industrial (XL1 / XLHLF / EDHLF)

Large industrial schedules and economic-development rates can materially lower per-unit cost for high, steady loads; per-unit charges are in the rate book.

Tips:
  • Request the FY2025-26 Business Electric rate book for exact LC1/XL1 figures
  • Ask about economic-development (EDHLF/EDM) eligibility
  • Model high-load-factor vs standard with your load profile
Est. monthly: Per FY2025-26 Business Electric rate book
📊

Energy manager needing usage data

Set up a written authorization for periodic manual data delivery; there is no API or Green Button.

Recommended:
Midsize Commercial (MC1)Large C&I (LC1)

BWL has no programmatic access, so a standing authorization with monthly email reports is the only reliable path for ongoing data.

Tips:
  • File signed authorization with customerservice@lbwl.com
  • Request daily/hourly usage and PDF bills on a monthly cadence
  • Use the Business Help Center for custom integration discussions
Est. monthly: N/A (data access)

04

Historical Rate Trends

BWL's Board of Commissioners approved a two-year rate strategy in August 2024, raising average electric rates 6.95% effective October 1, 2024 and 6.00% effective October 1, 2025, to fund infrastructure and clean-energy goals while keeping increases below inflation.

October 1, 2024

Average electric rate increase of 6.95% (residential 7.8%), first step of the two-year strategy.

+6.95%

October 1, 2025

Average electric rate increase of 6.00% (residential 6.8%), second step of the two-year strategy.

+6.00%

Overall trend: Rising; two-year strategy 2024-2025

Next expected change: Future adjustments set by the Board of Commissioners through its rate-setting process; no further increase announced beyond the Oct 1, 2025 step.


05

Cost Optimization Strategies

Because BWL C&I rates combine seasonal energy charges, demand charges, time-of-use windows, and power-factor penalties, the biggest levers are demand management, power-factor correction, load shifting, and choosing the right rate variant.

Peak Demand Management

For: Midsize Commercial (MC1) and larger

$14-$15.50 per kW shaved per month

On MC1 and larger, reduce maximum demand above 15 kW to lower the $15.50/kW (summer) / $14.00/kW (winter) demand charge by staggering equipment and using controls or storage.

Power-Factor Correction

For: MC1 and larger demand-metered accounts

Up to 10% of demand-related charges

Maintain power factor at or above 0.900 to avoid the BWL penalty (up to 10% below 0.850 PF) via capacitor banks or VFDs.

Off-Peak Load Shifting (TOU)

For: Customers with flexible/schedulable load

Large per-kWh differential on shiftable load

Adopt SCTOU/MCTOU and shift flexible load out of the 10am-6pm on-peak window; MCTOU summer off-peak energy is ~$0.0742/kWh vs ~$0.2771/kWh on-peak.

High-Load-Factor Rate Selection

For: Facilities with high, steady load factor

Rate-structure dependent

Steady, high-utilization facilities may benefit from high-load-factor rates (MCHLF, LCHLF, XLHLF) designed for flat load profiles.

To implement these strategies, you need your 15-minute interval data. Learn how to download Lansing Board of Water & Light (BWL) interval data →


06

Frequently Asked Questions

Can we pull BWL usage data into our energy management software via API?

No. BWL has no public API, Green Button, or EDI program. The CSS portal shows daily/hourly usage as charts but offers no export. To get data into your software, obtain written customer authorization and request manual exports from customerservice@lbwl.com or the Business Help Center; expect periodic email reports rather than automated feeds.

Which commercial electric rate applies to our facility?

BWL classifies business accounts by size: Small Commercial (SC1, single-phase secondary), Midsize Commercial (MC1, three-phase secondary with demand billing), and Large Commercial & Industrial (LC1), plus Extra Large Industrial (XL1). Time-of-use and high-load-factor variants exist (e.g., SCTOU, MCTOU, MCHLF).

How does BWL bill demand for midsize commercial customers?

On the standard Midsize Commercial rate (MC1), demand is billed at $15.50 per kW (summer) and $14.00 per kW (winter) on maximum demand above 15 kW, on top of the energy charge and a $75/mo basic service charge. A power-factor penalty (up to 10%) applies below 0.850 PF, so correcting power factor reduces cost.

Are BWL rates regulated by the Michigan Public Service Commission?

No. As a municipal utility, BWL sets its own rates through its Board of Commissioners; it is not rate-regulated by the MPSC. C&I customers cannot shop for a competitive supplier and take bundled service under BWL's published schedules.

Can we reduce cost by shifting load off-peak?

Yes. BWL offers time-of-use rates (SCTOU, MCTOU) with on-peak hours roughly 10am-6pm. On MCTOU, summer off-peak energy is about $0.0742/kWh versus $0.2771/kWh on-peak, so shifting flexible load off-peak can materially cut energy cost. High-load-factor rates (MCHLF, LCHLF) suit steady, high-utilization loads.

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