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DTE wants to increase rates; Here's why they say they need to

'We need to basically rebuild entire sections of the electrical grid'
dte energy
Posted at 3:39 PM, Feb 28, 2023
and last updated 2023-02-28 18:13:34-05

(WXYZ) — As DTE continues to work to restore power to all impacted by last week’s ice storm, they aren't just facing tough questions for extended outages, they're also facing questions around a requested rate hike.

Just days after a crippling ice storm left countless DTE customers in metro Detroit without power for days, the company is still hoping to get approval from the Michigan Public Service Commission to raise residential rates by 13.9% and commercial rates by 11.5%.

It's money they say is necessary to improve the grid after the state approved a $31 million rate hike in November.

“The answer is getting wires run underground, but I had heard DTE say it’s cost prohibitive," said customer Kristi Kruger.

Kruger lives in Southgate and says six days without power is way too much.

“Thursday night power went out completely, so there is no heat for residents near me or myself," she said.

Her feelings of frustration are amplified by a pattern of severe weather the past couple years and widespread outages.

We questioned DTE further today on their latest rate hike request made prior to the ice storm.

"The rate case we submitted asks for $619 million. We need to basically rebuild entire sections of the electrical grid," said Ryan Stowe with DTE.

He says they do have some work in underground lines, but it's a relatively small amount.

"It’s really a strain and we get that. That’s the reason to do this. It’s the worst ice storm in history. With tornadoes and severe weather in 2021, we need to upgrade the system.”