DTE Electric Rate Case U-21297

Decided: December 1, 2023

Approved return on equity: 9.9%

Approved overall rate of return: 5.56%

Approved revenue requirement increase: $368 million

Approved residential class rate increase: 6.38%

Requested return on equity: 10.25%

Requested overall rate of return: 5.70%

Requested revenue requirement: $619 million

Requested residential class rate increase: 13.9%

Time period: Dec. 1, 2023 – Nov. 30, 2024

Events:

In response to the Dec. 1 MPSC order in this rate case, CUB issued this statement:

A Dec. 1 order from the Michigan Public Service Commission (MPSC) will cut DTE’s proposed electric rate hike by over 40%, down to about $368 million, compared to the $619 million originally requested by the utility. As a result, DTE residential customers will see their rates increase by about 6.4%%, rather than a 13.9% increase if DTE had had its way.

CUB, in cooperation with the Michigan Environmental Council, the Natural Resources Defense Council and the Sierra Club, sponsored expert witness testimony showing that DTE’s spending proposals are not cost-effective and the utility is overlooking ways to improve the distribution grid and reliability while also spending ratepayer dollars more effectively.