CMS Energy Corporation reports recurring developments across its Michigan energy business, with Consumers Energy as its principal utility subsidiary. Company news commonly covers earnings results and financial outlooks, common and preferred stock dividends, and updates tied to electric and natural gas service in Michigan.
Consumers Energy updates also include grid reliability, storm response technology, customer energy-efficiency and assistance programs, and regulatory discussions involving utility assets. CMS Energy also reports on its independent power generation businesses and capital-return actions involving listed common stock, preferred securities and depositary shares.
Consumers Energy has secured approval for a $170 million investment aimed at modernizing Michigan's natural gas system, enhancing safety and reliability for customers. This investment is part of a broader $11 billion Natural Gas Delivery Plan over ten years, focusing on upgrading infrastructure and replacing aging pipes. The company is committed to investing $1 billion annually, creating jobs, and supporting affordability through the largest underground storage system in the nation. Natural gas rates remain unchanged since October 2020, with prices for residential customers 23% lower than the national average.
Consumers Energy has received regulatory approval from the Michigan Public Service Commission to accelerate its transition away from coal, targeting to end coal use by 2025, which is 15 years ahead of schedule. The updated Clean Energy Plan will retire multiple coal plants and enhance system reliability through natural gas and solar investments, aiming for 90% of capacity from clean sources by 2040. The plan, supported by various stakeholders, is expected to save customers approximately $600 million by 2040 while promoting environmental sustainability.
Consumers Energy has announced agreements to acquire 300 megawatts of clean energy from two new solar projects in Michigan, capable of powering 150,000 homes. These projects, Confluence Solar and Heartwood Solar, are set to begin operations by the end of 2024 and will contribute to the company's Clean Energy Plan, which aims to eliminate coal by 2025 and achieve net-zero emissions by 2040. The projects will generate significant local tax revenues and create around 250 jobs in Genesee and Hillsdale counties, enhancing community prosperity.
Consumers Energy announced plans to collaborate with landowners in Michigan to establish utility-scale solar power plants. The company aims to expand its solar capacity by 8,000 megawatts by 2040, contributing to its Clean Energy Plan, which seeks to eliminate coal and achieve net-zero carbon emissions. Approximately 1,100 megawatts of solar capacity is expected to be operational by 2024. This initiative will not only promote clean energy but also create economic opportunities for local communities and landowners, enhancing job creation and revenue generation.
CMS Energy has declared a quarterly dividend of $0.2625 per depositary share on its 4.200% Cumulative Redeemable Perpetual Preferred Stock, Series C. This dividend is payable on July 15, 2022, to shareholders of record as of the close of business on July 1, 2022. As a Michigan-based energy provider, CMS Energy continues to support its investors with this dividend declaration, reflecting its commitment to shareholder returns.
Consumers Energy, the main subsidiary of CMS Energy, announced a quarterly dividend of $1.125 per share on its $4.50 preferred stock (NYSE: CMS_pb). This dividend will be payable on July 1, 2022, to shareholders of record by June 6, 2022. As a major energy provider in Michigan, CMS Energy remains committed to delivering value to its shareholders through consistent dividend payments.
CMS Energy reported first quarter earnings per share of $1.21, consistent with the same period last year. Adjusted EPS rose to $1.20 from $1.09 year-over-year. The company reaffirmed its 2022 adjusted earnings guidance of $2.85 to $2.89 per share and aims for long-term adjusted EPS growth of 6 to 8 percent. CMS Energy emphasized its commitment to eliminating coal generation by 2025 and achieving net zero carbon emissions by 2040.
Consumers Energy has proposed a $272 million investment to enhance Michigan's energy reliability and sustainability, awaiting approval from the Michigan Public Service Commission. This initiative is part of a broader $5.4 billion Electric Distribution Infrastructure Investment Plan aimed at modernizing the energy grid over five years. Key elements include enhancing grid reliability, increasing investments in clean energy, and supporting economic growth. If approved, residential electric bills may increase by $7.50 monthly, while the company aims to reduce outages by 15% by 2025.
Consumers Energy has introduced the Mi Clean Air program, aimed at enabling residential and business customers to offset carbon emissions from natural gas. Launched on April 26, 2022, the initiative allows participants to purchase offset credits generated from sustainable forest management in Luce County, Michigan. The program supports Consumers Energy's goal to achieve net zero greenhouse gas emissions from its natural gas system by 2050. Residential customers can offset about 30% of their usage for $6 per month.
On April 25, 2022, the Consumers Energy Foundation announced the allocation of $500,000 in funding for three environmental projects in Michigan as part of the Planet Awards. The projects aim to preserve freshwater resources, enhance urban tree canopies, and restore natural habitats. Recipients include the Green Macomb Urban Forest Partnership, which will plant 1,000 trees and native shrubs, Oshtemo Charter Township for restoring the Fruit Belt Rail Corridor, and the Huron-Clinton Metropolitan Authority for restoring Huron River habitats.