MI Approves DTE Energy's Latest Rate Hike: Here's What That Means For Your Bill

The Michigan Public Service Commission approved DTE Energy's latest rate hike Thursday.

Officials granted the utility a $242 million increase, meaning the typical customer will see a nearly $5 increase (4.6 percent) in their monthly bill. The rate increase will go into effect starting March 5.

DTE originally asked for $574.1 million increase.

The money will be used to upgrade DTE's system, including the grid across southeastern Michigan and its tree trimming program, officials said.

"The approval comes amid encouraging signs that DTE Electric is showing tangible improvements in reliability as the MPSC has maintained its intense focus on making the grid more reliable and resilient," the commission said.

Officials said DTE's efforts to restore power outages hit the top quartile among energy utilities around the country in 2025, lowering customer outage times by 60 percent compared to 2024.

Officials also said that "between 2020 and 2025, Michigan residential energy bills increased at a rate that was 5.3 percent lower than the 22.5 percent rate of inflation during that period."

The commission also approved several investments for DTE, including:

• $200 million for pole and pole top maintenance and modernization.
• $348 million in 2026 and $282.5 million in 2027 for DTE Electric’s infrastructure recovery mechanism.
• Spending for DTE Electric to continue its 5-year tree trimming cycle.
• Undergrounding pilot projects in Ann Arbor and Attica Township (Lapeer County).
• $70.5 million for upgrades to existing substations or to add new substations.