Detroit, Michigan – Michigan Attorney General Dana Nessel has announced that her office will intervene in DTE Energy’s request to increase electric rates for its customers. Nessel criticized the utility company’s proposal, calling it “absurd.”
DTE Energy, based in Detroit, filed a request with the Michigan Public Service Commission for a $456 million rate increase for its electric customers. If approved, this would result in an approximately $11 increase for the average monthly residential bill. The company stated that the rate hike is necessary to invest in its grid and enhance service reliability.
However, Nessel, known for her scrutiny of rate increase cases involving major Michigan utilities, expressed concerns over DTE’s justification for the proposed hike. She argued that the company needs to demonstrate why the rate increase is necessary, citing past instances where increased costs were shifted onto customers without adequate explanation.
The Michigan Public Service Commission, responsible for evaluating rate increase requests from utility companies, has a history of approving lower rate increases than initially requested. In a recent case involving DTE, the commission approved a $368.1 million electricity rate increase, lower than the company’s initial request of $620 million.
DTE officials defended the latest rate increase request, stating that it is intended to cover costs related to electric reliability, investments in power plants, efforts to reduce carbon footprint, and align with Michigan’s clean energy goals. The state aims to achieve 100% clean energy generation by 2040.
Nessel criticized the timing and magnitude of DTE’s request, emphasizing that the company should provide transparent justifications for any rate increases. The Attorney General’s office will intervene in the case to ensure that the interests of Michigan consumers are adequately represented.
Overall, the debate over DTE Energy’s rate increase request highlights the ongoing tensions between utility companies seeking to recover costs and provide reliable service, and consumer advocates pushing for transparency and affordability in the energy sector.