Protecting Customers, Powering the Future
DTE Energy is deeply committed to supporting our customers and the communities we serve by delivering the safe, reliable energy you count on every day. As data center development grows across the country and here in Michigan, we remain focused on protecting our customers and keeping bills as low as possible. That is why we’re confident in saying that data center development will not increase customer rates:
As a DTE customer, you share a portion of the fixed costs that support the maintenance and modernization of our electric grid. Having a large and more diverse base of customers — whether it’s a data center, an auto plant, a commercial high-rise or a hospital — means individual customers become a smaller portion of the base, and the fixed costs of maintaining the grid are spread more widely.
It’s like sharing the cost of gas on a road trip — the more people riding in the van, the less each person pays. In the same way, adding a big data center spreads fixed energy system costs across more customers, so existing customers don’t have to cover them alone.
But we’re not talking about a few dollars for gas. Our models show that this new large data center will likely contribute approximately $300 million annually to improving DTE’s electric system, helping to reduce the total amount needed from other customers.
“The scale of investment represents both a major fiscal opportunity and an important step in ensuring our region keeps pace with modern infrastructure needs."
— Phil Santer, Senior Vice President & Chief of Staff, Ann Arbor SPARK
“It’s critical for sustaining it for the future, for our children, for our grandchildren. To have a revenue source that allows our community to grow and fund our local police and fire departments as well.”
— Saline Township resident of 20 years
“Commencement of this project will also create a boom of economic activity in southeast Michigan that will help bolster local small businesses. In addition to the 2,500 jobs involved in the construction of the facility itself, everyday operations of the facility promises to bring hundreds of high paying permanent jobs to the area, creating opportunities for further economic growth in the region.”
— Small Business Association of Michigan
“We worked with these companies to ensure that the data center they’re designing — one of the most advanced ones ever built — will protect Michigan’s air, water, and land. This project will also create 2,500 good-paying union construction jobs, more than 450 permanent good-paying jobs on site, and 1,500 more in the community.”
— Governor Gretchen Whitmer
“This project represents not only construction work, but long-term operations, maintenance, and technical support opportunities — careers that sustain families and strengthen local communities.”
— Michigan Pipe Trades Association
“Data centers like this create hundreds of high-paying permanent jobs that will contribute to the state’s local economies for decades. These data centers also contribute a large amount of tax revenue to increase funding for government functions like police, fire, school districts, and other human services.” — State Rep. Tullio Liberati
“This project represents a significant opportunity for our state. The data center will bring substantial economic investment, create high-quality jobs, and reinforce Michigan’s position as a leader in innovation and technology infrastructure.” — State Rep. Joe Tate
“The Chamber is delighted to see that the contracts explicitly ensure the data center will absorb all new costs required to serve them, meaning this development will not increase rates for DTE's existing customers.” — Detroit Regional Chamber
“It will generate substantial economic and community benefits, including millions of dollars in new local tax revenue to support schools, first responders, and local governments... the construction phase alone is expected to create more than 2,500 union construction jobs, with hundreds of additional high-paying, long-term positions once the facility becomes operational.” — Michigan Building Trades Council
“It provides the township with financial resources and benefits to maintain our rural character and way of life for generations to come.” — Saline Township resident of 53 years
No. Data centers built in DTE’s electric service territory will not increase customers’ rates. Recent legislation passed by the Michigan legislature ensures DTE customers will not subsidize data center rates.
Furthermore, DTE is ensuring the data center will cover all new costs required to serve them through special contracts. By building battery storage, which the data center is paying for, DTE is investing in its system in a way that protects and promotes continued reliable service for all customers.
As a regulated utility, DTE has a duty to serve all customers within our service territory. Our role is to provide power to these data center customers just as we would any other business customer. As data center investment increases across our region, we remain focused on reliability, keeping bills as low as possible and protecting all our customers. Unlike other states, Michigan law prohibits utility customers from subsidizing the costs of data centers. We are also committed to including additional customer protections in all data center contracts.
Unlike many other states, Michigan is uniquely positioned with recent legislation that incorporates rules that protect customer affordability, including that data centers cannot be served with a rate that would cause customers to pay for infrastructure and other costs required to serve the data center facility.
No. The proposed data center in Saline Township is expected to contribute around $300 million to the electric system, which will help pay for the investments DTE continues to make to improve reliability by 30% and cut outage time in half by 2029. This significantly lessens the burden on our existing customers, though we anticipate needing to continue to file rate requests to be able to deliver a cleaner, more reliable grid for all our customers.
First, Michigan law, including the recent sales and use tax exemption and cost of service rules, forbids DTE customers from subsidizing the costs of bringing a data center onto the system or subsidizing its rates.
Second, DTE’s current contract with the data center requires the data center to pay all of the costs associated with the new generation resources necessary to serve them — in this case, battery storage.
Finally, unlike other states and utilities, DTE owns and operates enough generation to serve its customers. This means that DTE does not rely heavily on the open market to secure energy to serve its customers, which protects our customers from unpredictable market price swings that other parts of the country experience.
DTE’s plan to address longer-term generation needs for current and future customers — including data centers — will be filed in the next integrated resource plan (IRP) with the Michigan Public Service Commission (MPSC) in 2026.
Data centers can help Michigan reach its clean energy goals. Michigan state law requires that any new generation needed to serve data centers must be procured through clean energy sources. This also helps accelerate DTE’s development of clean energy projects, enabling us to reach the state’s clean energy requirement of 50% renewable energy generation by 2030 and 60% by 2035. We are committed to serving our customers with the clean, reliable energy they deserve for generations to come.
As with any business or commercial operation, data centers contribute significant tax revenue to the communities in which they are located. Additionally, the investment in new power generation needed to serve them — which, again, the data center pays for — will create additional jobs and tax revenue across the state.
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Project-Specific Information
Energy & Sustainability