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U.S. SUPREME COURT REJECTS APPEALS OF MIDLAND COGENERATION VENTURE CERTIFICATION

 DEARBORN, Mich., Nov. 30 /PRNewswire/ -- The U.S. Supreme Court has brought to an end a long and expensive legal challenge against the Midland Cogeneration Venture (MCV) by Michigan's attorney general and the Michigan Municipal Cooperative Group (MMCG). On Monday, the high court denied without comment a final attempt to overturn a six-year-old decision by the Federal Energy Regulatory Commission that the MCV is a "qualifying facility" under the Public Utility Regulatory Policies Act of 1978.
 "The Supreme Court's rejection finally puts to rest a costly and frivolous legal campaign by the MMCG against the MCV that was wholly unjustified as evidenced by a series of seven FERC and court decisions, all supporting the MCV position," said S. Kinnie Smith Jr., CMS Energy's vice chairman. "This ruling will allow both Michigan's municipal utilities and us to devote our attention instead to finding ways to better serve the energy needs of Michigan's citizens." The MCV is 49-percent owned by a subsidiary of CMS Energy.
 Over the past several years, the MMCG has incurred hundreds of thousands of dollars in legal fees in a series of failed attempts to have the MCV's status as a qualifying facility revoked. "It is our belief that this lengthy challenge has been part of a multi-year plan to compel Consumers Power Company to sell a portion of its transmission system to the municipal utilities -- something which we have refused to do," said Smith.
 The FERC originally certified the MCV as a qualifying facility under PURPA in 1987. On two subsequent occasions, it recertified the plant as a qualifying facility. In March of this year, the U.S. Court of Appeals for the District of Columbia rejected appeals made by Michigan's attorney general and MMCG just 10 days after oral arguments were completed.
 MMCG is a statewide organization made up primarily of local municipal utility companies and rural electric cooperatives. The Michigan cities whose municipal utilities are members are Bay City, Charlevoix, Chelsea, the Village of Clinton, Coldwater, Grand Haven, Harbor Springs, Hart, Hillsdale, Holland, Lansing, Lowell, Marshall, Petoskey, Portland, St. Louis, Traverse City, Union City and Zeeland.
 CMS Energy Corporation (NYSE: CMS) is a $3.4 billion (sales) diversified energy company with businesses engaged in electric and natural gas utility operations; independent power production; interstate storage, transmission and marketing of natural gas; oil and gas exploration and production, and utility services. CMS Energy Corporation's principal subsidiary is Consumers Power Company, Michigan's largest utility and the nation's fourth-largest gas and electric utility.
 -0- 11/30/93
 /CONTACT: Kelly M. Farr of CMS Energy, 313-436-9253/
 (CMS)


CO: CMS Energy Corporation; Midland Cogeneration Venture; Michigan
 Municipal Cooperative Group ST: Michigan IN: OIL UTI SU:


SB -- DE020 -- 8820 11/30/93 14:28 EST
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Publication:PR Newswire
Date:Nov 30, 1993
Words:454
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