By Gari Voss
Homeowners around Lake Allegan are releasing a sigh of relief thanks to the announcements by Consumers Energy and Hull Street Energy, LLC (HSE) affiliate Confluence Hydro have reached an agreement on the purchase of the 13 Michigan Hydroelectric Dams that have been a bone of contention over the last several years. Included in the agreement is the Calkins Bridge Dam that defines Lake Allegan.
In their September 9, 2025, bulletin, Consumers Energy announced that they had signed a purchase agreement with Confluence Hydro that would turn over the dams at the cost of $1 per dam. Built into the agreement, Confluence Hydro will renew the federal operating licenses set to expire in 2034, and contract with Consumers to provide energy produced by the facilities for 30 years.
The decision is expected to reduce long-term costs for Consumers Energy customers while ensuring that the dams will continue to operate safely and provide economic and recreational benefits for communities around the dams.
“We believe a sale of the dams is the best path forward for our customers. This sale balances two important needs, to lower costs for Consumers Energy’s customers while continuing to care for communities that depend on the dams,” said Sri Maddipati, Consumers Energy’s president of electric supply. “After numerous conversations with community members over the last three years to gather insights and feedback, we are confident this sale will preserve the reservoirs that hold the key to economic, recreational and community benefits at each of the dams.”
Hull Street Energy is an investment firm that has significant experience in owning, operating and investing capital in power generation assets across North America, which includes 47 hydroelectric facilities.
“Safety has always been foundational to everything we do,” said Ed Quinn, Chief Executive Officer of Confluence Hydro. “With decades of experience operating hydro facilities, we are committed to preserving and modernizing these important resources to maximize their contribution to the grid. We deeply admire and respect the Consumers Energy team and the culture of safety and operational excellence they have built. We see extraordinary opportunity to leverage our combined strengths to build a best-in-class hydro company – one that protects communities, supports employees, mitigates risk, and delivers reliable, clean energy for the future.”
HSE intends to leverage its extensive experience and capital resources to upgrade the projects, which will ensure that the facilities can continue to safely deliver reliable, clean energy to Michigan customers and support economic and recreational opportunities critical to local communities for years to come.
Confluence Hydro was formed to own and manage HSE assets. Consumers Energy employees who currently manage and operate the 13 dams will be offered equivalent positions. Maintaining the current employees should ensure uninterrupted operations while ensuring the highest safety standards.
Before the deal is complete, the transaction will require approval from state and federal regulators, which is expected to take place in approximately 12 to 18 months. Confluence Hydro and Consumers Energy leadership have briefed employees and impacted communities regarding the sale.
Confluence Hydro is planning additional meetings with stakeholders over the coming months to hear their perspectives and share the company’s vision. Residents around Lake Allegan are looking forward to those meetings. The announcement brought a sigh of relief, but residents are eager to hear directly from the Confluence team.
While Coco Soodek directed the residents of Lake Allegan to the announcements by Consumers Energy and Hull Street Energy of the 30-year agreement, she assured the community that they will be consulting with their legal counsel and gathering information to share at their September meeting.
As Kathy Marsh shared, “As long as this company respects the nature and fauna of the lake and its inhabitants, meaning waterfowl, birds of prey, fish etc… We have a beautiful Bald Eagle mating pair, along with red tailed hawks and peregrine falcons, owls that hunt through, along with herons, swans, ducks, etc. Keeping this ecosystem is very important and should be valued as a vital resource for migrating birds. I love seeing the diverse wildlife as I have my morning coffee. I’d like to keep it that way along with necessary improvements to facilitate hydropower if possible.”
As the sale particulars progress, those living behind Calkins Bridge Dam will continue to watch and listen for the decisions being made and the finalization of the licenses.
