Article Summary –
Michigan Attorney General Dana Nessel has intervened in DTE Energy’s latest request to raise electricity prices for Michigan households, a request that would increase the company’s annual rates by over $800 million within a year. DTE, which provides electricity to over 2 million customers in Southeast Michigan, says the increase is necessary to fund improvements to the power grid and replace coal plants with clean energy technologies. However, Nessel and other entities have criticized the frequency of rate increase requests, arguing they lead to unsustainable electric bills and are not tied to improved reliability or accountability.
Michigan AG Takes on DTE Energy’s Price Hike
Michigan Attorney General Dana Nessel is taking exception to DTE Energy’s recent attempt to increase household energy prices. On March 28, Nessel’s office filed a notice of intervention against DTE Energy’s application for an annual rate increase of around $456 million. This move comes four months after the state’s utilities regulator sanctioned DTE’s earlier request for a $368 million rate increase.
DTE’s Demands Seen as Unreasonable
The recent increases would raise DTE’s annual rates by more than $800 million within a year. According to Nessel, this would result in unsustainable electricity bills. She decried DTE’s rate hike request as “absurd,” suggesting that the utility company’s persistent demands for increases are designed to meet the financial expectations of its shareholders rather than the needs of its 2 million customers in Southeast Michigan.
Matters of Public Concern
As the chief law enforcement officer, Nessel is tasked with intervening in issues of public interest on behalf of Michigan residents. Last year, the state’s unreliable electric grid became a concern following two consecutive winter storms that caused prolonged power outages for many residents. DTE and Consumers Energy, which provides electricity to almost 2 million Michiganders, had to face the state lawmakers.
Investments in Clean Energy
Adella Crozier, DTE’s director of regulatory affairs, defended DTE’s rate hike request before the public service commission in March. She claimed that the additional funds would be used to renovate the company’s electric grid and transition from coal plants to clean energy technologies.
Citizens and City Intervene
The Citizens Utility Board of Michigan, the Michigan Environmental Council, and the City of Ann Arbor have also expressed their intentions to intervene in the case. The Michigan Public Service Commission will hold a prehearing on April 26 to consider DTE’s rate hike request. If approved, the new rates would come into effect in January 2025.
—
Read More Michigan News
