Regulatory Approval and Controversy
The MPSC's decision on December 18-19, 2025, approved DTE's power supply contracts for the Saline data center, overriding calls for a contested case hearing. Residents and environmental groups, including Earthjustice, expressed disappointment over the 'opaque' fast-track process, fearing insufficient public input on grid strain.
Michigan's Attorney General raised alarms about bypassing testimony and evidence requirements. Despite this, regulators moved forward, citing the project's urgency for AI growth and DTE's contractual protections for ratepayers.
Critics worry about long-term impacts, like a 25% peak load increase, even as DTE insists operators will finance necessary expansions.
Economic Boost and Job Creation
DTE's application projects 2,500 union jobs during construction, injecting vitality into rural Washtenaw County. The facility is expected to generate substantial tax revenue, bolstering local economies and drawing tech talent to Michigan.
Proponents view it as a 'transformational' opportunity, positioning the state in the AI race. DTE emphasizes that hyperscale data centers like this drive innovation without direct costs to current customers.
Grid Upgrades and Sustainability
The data center requires 1.4 gigawatts, a significant draw on DTE's system. However, DTE states Oracle will fund renewables and battery storage, enhancing grid reliability and supporting Michigan's clean energy goals.
While some see this as a step toward modernization, others question if promises will hold amid rising data center proposals eroding public trust. The deal could set precedents for future projects in the state.