# Is a heat pump worth it in Michigan? Compare by electric utility

> As of November 2026: of 14 Michigan electric utilities, a heat pump comes out ahead at any quote for 0,
> it depends on quotes for 9, and like-for-like comes out ahead for 5
> (typical 1,800 sq ft home replacing both furnace and AC).

- Michigan average residential electricity: 21.2¢/kWh (EIA, last 12 months)
- Winter gas: $1.03/therm (EIA, Nov–Mar)
- Interactive page: https://meterwise.app/mi/

## What to know about the Michigan numbers

- **Rebates not checked yet**: We haven't checked heat pump rebates in Michigan yet, so the numbers here leave them out. Utility and state programs can take thousands off a heat pump, so ask your utility and your contractor what's available.
- **Some average prices**: 58% of Michigan ZIP codes here are priced on a current utility tariff; the rest use the utility's average price from the U.S. Energy Information Administration (about two years old). Each utility page says which.
- **Time-of-use rates**: 2 utilities' tariffs here charge different prices by time of day. We assume heating and cooling use is spread evenly across the day, which can be off if most of yours falls in peak hours.

## Utilities

"Heat pump vs. furnace + AC" is the heat pump's yearly running cost difference (− = cheaper to run).

| Utility | Price/kWh | vs. state | Default fuel | Heat pump vs. furnace + AC | Verdict |
|---|---|---|---|---|---|
| [Consumers Energy](https://meterwise.app/mi/consumers-energy/heat-pump-vs-furnace/index.md) | 24.1¢ | +14% | gas | +$290 | like-for-like ahead at any quote |
| [DTE Electric](https://meterwise.app/mi/dte-electric/heat-pump-vs-furnace/index.md) | 23.8¢ | +12% | gas | +$260 | like-for-like ahead at any quote |
| [Great Lakes Energy Coop](https://meterwise.app/mi/great-lakes-energy-coop/heat-pump-vs-furnace/index.md) | 19.2¢ | -10% | gas | +$10 | depends on quotes |
| [Tri-County Electric Coop (MI)](https://meterwise.app/mi/tri-county-electric-coop-mi/heat-pump-vs-furnace/index.md) | 18.0¢ | -15% | gas | +$50 | depends on quotes |
| [Midwest Energy Cooperative](https://meterwise.app/mi/midwest-energy-cooperative/heat-pump-vs-furnace/index.md) | 19.9¢ | -6% | gas | +$40 | depends on quotes |
| [Upper Peninsula Power Company](https://meterwise.app/mi/upper-peninsula-power-company/heat-pump-vs-furnace/index.md) | 27.6¢ | +30% | gas | +$720 | like-for-like ahead at any quote |
| [Indiana Michigan Power (I&M)](https://meterwise.app/mi/indiana-michigan-power-i-and-m/heat-pump-vs-furnace/index.md) | 17.0¢ | -20% | gas | −$10 | depends on quotes |
| [Alger-Delta Coop Electric Assn](https://meterwise.app/mi/alger-delta-coop-electric-assn/heat-pump-vs-furnace/index.md) | 23.3¢ | +10% | gas | +$370 | like-for-like ahead at any quote |
| [Presque Isle Elec & Gas Coop](https://meterwise.app/mi/presque-isle-elec-and-gas-coop/heat-pump-vs-furnace/index.md) | 21.0¢ | -1% | gas | +$280 | like-for-like ahead at any quote |
| [Cherryland Electric Coop Inc](https://meterwise.app/mi/cherryland-electric-coop-inc/heat-pump-vs-furnace/index.md) | 16.4¢ | -23% | gas | −$10 | depends on quotes |
| [Cloverland Electric Co-op](https://meterwise.app/mi/cloverland-electric-co-op/heat-pump-vs-furnace/index.md) | 14.4¢ | -32% | gas | −$50 | depends on quotes |
| [City of Lansing](https://meterwise.app/mi/city-of-lansing/heat-pump-vs-furnace/index.md) | 19.8¢ | -7% | gas | +$90 | depends on quotes |
| [Alpena Power Co](https://meterwise.app/mi/alpena-power-co/heat-pump-vs-furnace/index.md) | 17.4¢ | -18% | gas | +$70 | depends on quotes |
| [Xcel Energy (Northern States Power Wisconsin)](https://meterwise.app/mi/xcel-energy-northern-states-power-wisconsin/heat-pump-vs-furnace/index.md) | 15.6¢ | -27% | gas | +$30 | depends on quotes |

Data: https://meterwise.app/data/v1/utilities.json · Method: https://meterwise.app/about/index.md