Consumers Energy Plans to Sell 13 Dams, Pauses Spillway Project
Mar 24, 2026
LANSING, MI (WOWO) Consumers Energy is requesting permission from the Federal Energy Regulatory Commission to delay a long-planned $350 million flood safety upgrade at Hardy Dam on Michigan’s Muskegon River, according to Bridge Michigan.
The utility cites regulatory delays and an ongoing plan to s
ell the dam, along with 12 others, to private operator Confluence Hydro, as reasons for the proposed postponement. Construction had initially been slated to start in 2023 but has now been pushed back to 2028 under the extension request.
Critics of the sale warn the delay could increase risks for downstream communities, as Hardy Dam’s spillway replacement is intended to meet federal flood control standards for high-hazard hydropower dams. Supporters of the project note Consumers has implemented temporary measures, including lowering reservoir water levels in the winter, to reduce flood risk in the interim.
The sale agreement would transfer maintenance responsibilities to Confluence Hydro, with Consumers committing to purchase power from the dams over a 30-year contract. Opponents argue the arrangement could cost ratepayers billions of dollars while raising questions about oversight of privately managed dams.
Michigan dam safety officials and local public leaders, however, say the current precautions are sufficient and Hardy Dam remains stable. The situation continues to draw attention as regulators and communities weigh the implications of the proposed sale and project delay.
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