2007 Target Bonuses

EXHIBIT 10.18.7

2007 TARGET BONUSES UNDER THE SEMCO ENERGY, INC.
AMENDED AND RESTATED SHORT-TERM INCENTIVE PLAN

          The following are the target bonuses for the fiscal year ending December 31, 2007 for each of the named executive officers (as defined in Item 402(a)(3) of Regulation S-K) of SEMCO Energy, Inc. (the “Company”) under the Company’s Amended and Restated Short-Term Incentive Plan, which may be increased or decreased depending on each named executive officer’s performance and the corporate financial results of the Company, as permitted under the Amended and Restated Short-Term Incentive Plan:

		Target Bonus That
		May be Granted Under
		Amended & Restated
Name and Position		STIP for 2007
George A. Schreiber, Jr. President and Chief Executive Officer		60% of Base Salary
Michael V. Palmeri Senior Vice President, Treasurer and Chief Financial Officer		40% of Base Salary
Eugene N. Dubay Senior Vice President of Operations		50% of Base Salary
Peter F. Clark Senior Vice President and General Counsel		40% of Base Salary
Lance S. Smotherman Senior Vice President of Human Resources and Administration		40% of Base Salary