DTE Gas’ Gets $113.8M Rate Increase Approved. Here’s What it Means for Michigan Customers

One of the state’s largest utilities, DTE Energy, recently got approval from the Michigan Public Service Commission (MPSC) for a rate increase totaling $113.8 million. The approved rate increase represents a 57% reduction from the company’s proposed $266 million rate increase. While $113.8 million is a large number, the increase will amount to about a 2.3% increase – or just under $2 – for each of its 1.3 million Michigan-based consumers. Additionally, there will be a new 66-cent “Infrastructure Recovery Mechanism,” which will gradually increase annually until the service charge reaches $6.28 per customer per month in January 2029. The decision by the MPSC to accept the hikes comes 11 months after a previous $368 million rate increase was approved in December 2023. The approved amount was only 60% of what DTE asked for in February 2023, and customers saw an average increase of 6.4%, or about $6.51, on their monthly bills. As part of the increases, MPSC also approved an increase in DTE Gas’ Low-Income Assistance credit to $40 per month, from $30, while the MPSC’s Energy Affordability and Accessibility Collaborative continues to evaluate the energy assistance programs. “Our customers pay what we pay for natural gas, since we...