DTE Energy approved for $368 million electric rate hike - WJRT
DTE Energy approved for $368 million electric rate hike | State | abc12.com
LANSING, Mich. (WJRT) - The Michigan Public Service Commission authorized DTE to implement a $368 million electric rate increase beginning Dec. 15.
According to the Michigan Public Service Commission, a typical residential customer who uses 500 kilowatt hours of electricity per month will see an increase of 6.38% or about $6.51.
Michigan Attorney General Dana Nessel said her office argued to reduce DTE's rate increase by 40% from the $622 million that the utility initially requested in February.
"While I am pleased the Commission limited the increase, I recognize that $368 million is still a tremendous rate increase and is too high for many ratepayers especially right before the holidays," Nessel said.
The commission approved an additional $2 million in funding for DTE Electric's pilot project to provide $1,500 rebates for income-eligible households for the purchase of electric vehicles.
Other things the commission approved were funding for DTE's capital program to improve reliability and modernize the grid, funding for conversions of circuits in the city because of aging infrastructure and hardening the City of Detroit's electric grid.
The commission directed DTE to:
- Include annual metrics on inspection and testing of pole and pole-top maintenance and reporting.
- Implement MPSC staff recommendations for ensuring reliability efforts address the needs of vulnerable communities in the company's distribution plan.
- Increase transparency in how distribution grid investments are selected and prioritized.
A number of Michigan Republican lawmakers issued statements after the rate increase was approved, saying it will be the first of many hikes likely from aggressive Democrat proposals to boost the use of renewable energy production.
The bills signed into law last week require Michigan utilities to generate 100% of their electricity from renewable sources, such as wind and solar, by 2040.
"Mandates come with expensive compliance costs," said Republican State Rep. Mark Tisdel of Rochester Hills. "As the state ramps up new energy requirements, Michiganders' electricity prices will keep ramping up, too."
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