CMS ENERGY CORP (CMS) Risk Factors

Recent key developments

Concrete developments — dated events, named agreements and instruments, legal proceedings — that CMS ENERGY CORP surfaced in its latest filing.

• In July 2025, President Trump signed the OBBBA into law, which CMS Energy and Consumers evaluated and concluded had no material impact currently, though subject to change.July 2025
• FERC is considering rulemaking to standardize and expedite interconnection procedures for large electric loads, which could assert jurisdiction over distribution components of large-load interconnections.
• FERC may allow large-load customers to directly purchase electricity from wholesale markets.
• The 2023 Energy Law increases the cap on Consumers' distributed generation program to 10% of utilities' peak loads and specifies an inflow and outflow rate method to be implemented by the MPSC.2023
• Consumers announced its electric Reliability Roadmap with larger investments in grid hardening, distribution capacity, and automation.
• Consumers announced its Natural Gas Delivery Plan, a rolling ten-year investment plan including accelerated infrastructure replacements, innovative leak detection technology, and process changes to reduce methane emissions.
• There is not currently a FERC-approved MISO Tariff for recovery of compliance costs associated with continued operation of J.H. Campbell, and continued operation is not included in current MPSC rates or rate filings; Consumers is pursuing cost recovery at FERC but cannot predict the outcome.
• Michigan law caps alternative electric supplier access at 10% of Consumers' sales, but the proportion of Consumers' electric deliveries under the ROA program and on the waiting list already exceeds 10%.
• Consumers' union agreements expire in 2030, while the majority of NorthStar Clean Energy's represented employees have an agreement that expires in 2029.2030
• CMS Energy, Consumers, and certain subsidiaries of NorthStar Clean Energy qualify for an end-user exception from mandatory clearing of commodity-related swaps under the Dodd-Frank Act.