DTE Energy proposes $388M investment into Michigan’s energy grid; Asks for rate increase

The most a bill could increase is around $10 per month, DTE says

DTE Energy is proposing a $388 million investment into Michigan’s energy grid and electric storage and generation system.

The company said it is, " to prepare for 21st-century demands posed by growing electrification needs, climate change, and the fast-evolving preferences of consumers and businesses.”

DTE Energy is asking for the Michigan Public Service Commission (MPSC) to approve a rate increase to fund the proposal. It said the most a bill could increase is approximately $10 a month for an average residential customer.

The company said 100% of the investments would go to improving its service, including modernizing infrastructure and producing cleaner energy.

  • Proposal commits investments to update Michigan’s energy grid and electric generation system.
  • The plan begins with a 10-month review process with the Michigan Public Service Commission and other stakeholders to request a rate increase.
  • DTE Energy says the rate increase would be up to $10 a month for an average residential customer bill.
  • Any new rate would not take effect until November 2022.

DTE’s Grid Modernization/CleanVision plan

The plan, known as “DTE’s Grid Modernization/CleanVision plan” begins a 10-month process where the MPSC looks into the plan with public input.

The plan includes the continuation of the multi-year tree trimming surge program; strategic infrastructure investments in substations, poles, wires, transformers, and other assets to modernize the grid and improve reliability; and smart technologies to help detect and prevent large-scale interruptions.

“DTE remains committed to surging its tree-trimming efforts, which directly correlates to improved reliability. In 2021 the company invested an incremental $70 million in tree trimming to help combat extreme weather-related power outages; recently it committed another $20 million to help accelerate its tree-trimming efforts. This investment of company funds has no impact on customer bills,” a release said.

The plan includes the start-up of the Blue Water Energy Center, the retirement of St. Clair and Trenton Channel Power Plants, and battery and hydrogen storage pilot programs.

“DTE Energy and our customers imagine a future for Michigan when Michigander’s lives and livelihoods are enhanced by their connection to new technologies powered by a strong and reliable system; when we’re powering our electric grid with clean energy sources; and when the state’s energy mix makes Michigan a beacon for economic development,” said Trevor Lauer, president, and chief operating officer of DTE’s electric company. “That bright future is within our reach if we invest in a modernized grid of the future powered by cleaner energy generation.”

The final impact on customer bills will not be determined until the MPSC makes its decision. Any new rate would not take effect until November 2022.

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Kayla is a Web Producer for ClickOnDetroit. Before she joined the team in 2018 she worked at WILX in Lansing as a digital producer.