The three commissioners, who approved the 6.4% rate increase unanimously after deliberating the case behind closed doors under an exemption to the Open Meetings Act, stressed that many of the approved expenditures are aimed at improving DTE’s distribution system to reduce both the number and duration of power outages.
The hefty rate hike request came just as both DTE and Consumers Energy were about to face intense scrutiny over their responses to storms in late February and early March that knocked out power to hundreds of thousands, in some cases for many days.
Peretick said the combined increase over two years is about 7.2%, compared to an inflation rate of about 6.4% over that time period.
Further reading…
From the Detroit News’ article…
The new rates will be effective Dec. 15 for DTE’s 2.3 million electricity customers in southeast Michigan and the Thumb area.
Rep. Mike McFall, D-Hazel Park, said he was “appalled” the commission would allow DTE to push the “financial burden of long-overdue infrastructure upgrades to residents” based on reasoning that is “tired and clearly not made in good faith.”
“This is despite DTE recording over $1 billion in net profits last year and after the company boasted about their $332 million 2023 Q3 earnings to shareholders,” McFall said in a statement.
“I recognize that $368 million is still a tremendous rate increase and is too high for many ratepayers, especially right before the holidays," [Attorney General Dana] Nessel said in a statement. “I will remain a vocal proponent for the interests of utility customers and urge the Legislature to pass measures compelling DTE to demonstrate this money is being utilized to ensure more reliable service and not to enrich its shareholders.”