Fox 2: Roop Raj interviews Professor John Taylor on utility costs
Big companies like Walmart, Comcast and Fifth Third Bank are doling out bonuses to employees on the heels of President Trump's tax reform. DTE Energy announced customers can expect to save money on their electric and gas bills as a result of the tax reform. They say bills are expected to go down by roughly three percent. "Three percent is not a lot but it's what most people's raises might be for a year," says John Taylor, who is with Wayne State University's Mike Ilitch School of Business. He explains it's not goodwill alone, but the law requires companies that get breaks to give back. "They are regulated by the Michigan Public Service Commission, and they have to justify their rates. Rates are based on the cost. When costs go down because they have a tax cut, they are obligated to pass that reduction and cost on in lower rates to the Michigan consumers," he explains.