Politics & Government

MI AG Dana Nessel Challenges DTE Energy's Latest Proposed Pay Hike

The utility wants to increase its annul revenues of $456.4 million​, which Nessel says is "excessive and unnecessary."

Michigan Attorney General Dana Nessel is challenging DTE Energy's latest proposed pay hike, accordion to the attorney general's office.
Michigan Attorney General Dana Nessel is challenging DTE Energy's latest proposed pay hike, accordion to the attorney general's office. (Renee Schiavone/Patch)

MICHIGAN — Michigan Attorney General Dana Nessel is challenging DTE Energy's latest proposed pay hike, accordion to the attorney general's office.

The utility wants to increase its annul revenues of $456.4 million, which would mean a 10 percent pay increase for customers, according to the attorney general's office.

DTE Energy's request also comes less than four months after the Michigan Public Service Commission granted the company a $368 million annual rate increase, according to the attorney general's office.

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Nessel argued the increase is "excessive and unnecessary" and said the utility should receive no more than a $139.5 million annual increase. That would limit any rate hike to around 2.5 percent, according to the attorney general's office.

"A deep dive into DTE’s latest electric rate case reveals a disturbing pattern of exaggerated projections and unsubstantiated projects that clearly prioritize corporate interests over customer benefits," Nessel said. "DTE is once again seeking MPSC approval to bill its customers for corporate jet travel by executives on top of these inflated costs. Such exorbitant expenditures not only inflate customers’ bills but also undermine DTE’s corporate pledges to reduce greenhouse gas emissions. These unnecessary costs directly contribute to rising utility bills."

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DTE told WNEM 5 that the pay hike is needed to improve the electrical grid and reduce power outages during severe weather events.

"Just like AG Nessel, we want what’s best for Michiganders, in particular, our customers in southeast Michigan. No one can deny the increasing severity of weather in recent years, including the number of tornadoes and extreme wind events that are impacting our customers. That’s why we’re focused on improving reliability across our service territory – our customers demand and deserve it –reducing power outages by 30% and cutting outage time in half by 2029. We’re doing this through investments that are helping us build a smarter, stronger more resilient grid that will serve our customers not only in the near future, but for generations to come," a DTE Energy spokesperson told the news station.

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