Michigan Attorney General Dana Nessel has thrown her weight behind a challenge to the fast-tracked approval of power contracts for a massive data center project in Washtenaw County, citing concerns over potential rate hikes and lack of public scrutiny.
The contentious decision, made by the Michigan Public Service Commission on December 18, allows DTE Energy to secure special power deals with two major tech companies, Oracle and OpenAI, as part of the "Project Stargate" development in Saline Township. The 1.4-gigawatt data center is expected to consume as much electricity as nearly one million homes, prompting worries among residents, environmental advocates, and consumer watchdogs about its long-term impacts on electric rates, grid reliability, and the environment.
Nessel's office has filed a petition for rehearing with the Michigan Public Service Commission, arguing that the commission erred in approving the contracts behind closed doors without holding a contested case hearing. The attorney general believes this approach cut corners and shut out the public and their advocates, serving only the interests of DTE Energy and its high-paying clients.
As part of her challenge, Nessel questions whether the conditions imposed by the commission are meaningful or enforceable. She also argues that many appear to rely on repeated assurances from DTE rather than concrete commitments backed by evidence. The attorney general is seeking clarification on how those conditions will protect ratepayers and objects to the commission allowing DTE to serve as the project's financial backstop.
The Michigan Public Service Commission has defended its decision, stating that it "unequivocally rejects any claim that these contracts were inadequately reviewed." However, Nessel remains disappointed with the fast-tracked approval process, arguing that it prioritized the interests of DTE Energy and its clients over those of Michigan residents.
The contentious decision, made by the Michigan Public Service Commission on December 18, allows DTE Energy to secure special power deals with two major tech companies, Oracle and OpenAI, as part of the "Project Stargate" development in Saline Township. The 1.4-gigawatt data center is expected to consume as much electricity as nearly one million homes, prompting worries among residents, environmental advocates, and consumer watchdogs about its long-term impacts on electric rates, grid reliability, and the environment.
Nessel's office has filed a petition for rehearing with the Michigan Public Service Commission, arguing that the commission erred in approving the contracts behind closed doors without holding a contested case hearing. The attorney general believes this approach cut corners and shut out the public and their advocates, serving only the interests of DTE Energy and its high-paying clients.
As part of her challenge, Nessel questions whether the conditions imposed by the commission are meaningful or enforceable. She also argues that many appear to rely on repeated assurances from DTE rather than concrete commitments backed by evidence. The attorney general is seeking clarification on how those conditions will protect ratepayers and objects to the commission allowing DTE to serve as the project's financial backstop.
The Michigan Public Service Commission has defended its decision, stating that it "unequivocally rejects any claim that these contracts were inadequately reviewed." However, Nessel remains disappointed with the fast-tracked approval process, arguing that it prioritized the interests of DTE Energy and its clients over those of Michigan residents.