In our previous blog, we highlighted why Michigan’s Integrated Resource Plan (IRP) process is important to our state’s energy future and economy. Every Michigan household and business depends on reliable, affordable, and safe energy—and the IRP process helps ensure that the energy needs of customers across the state are met.

The IRP process is also a valuable tool in keeping Michigan on track to reach the goal of net zero carbon emissions across the economy by 2050.

In November 2022, DTE Energy filed its new IRP with the with the Michigan Public Service Commission (MPSC), our state’s energy regulator. The purpose of this blog post is to neither support nor oppose DTE Energy’s 2022 IRP. Instead, in order to promote reasonable, responsible, and reliable energy policies, this blog will highlight a few aspects of DTE Energy’s 2022 IRP that the MPSC should demand from all energy providers.

An IRP Must Focus on the Future While Meeting Today’s Energy Needs

Every IRP is a balancing act. Michigan electricity companies must forecast how they will provide affordable, reliable energy over the next 5, 10, and 15 years, as well as meet carbon reduction goals. To meet these diverse requirements, energy companies develop plans for the use of a mix of energy sources.

We see this mixed approach in DTE Energy’s 2022 IRP, which includes plans to:

Develop more than 15,000 megawatts of renewable energy—capable of powering approximately 4 million homes.
Build more than 1,800 megawatts of energy storage—so that the energy generated by wind and solar can be stored and used on cloudy, windless days.
Retire major coal plants and increase natural gas generation, which will help reduce carbon emissions while continuing to provide a 24/7 energy source that complements renewable energy.

As part of its IRP, DTE Energy projects an increased rate of carbon emissions reductions—which puts the company’s progress ahead of the timeline laid out in the April 2022 MI Healthy Climate Plan. The company targets an 85% reduction in carbon emissions by 2035 and 90% by 2040.

An IRP Should Demonstrate Cost Savings and Job Creation

DTE Energy has “committed to getting as clean as we can as fast as we can.” In the IRP, it backs up this commitment with a planned investment of $9 billion over the next 10 years, on top of an earlier announcement of an $8 billion investment in modernizing the electric grid to make it more resilient to extreme weather events. The company projects that it will reduce costs for the conversion to clean energy by $1.4 billion compared to its 2019 IRP.

DTE Energy's $9 billion investment will likely also translate into clean energy jobs. The IRP projects that its investment will support approximately 25,000 jobs. Given our state’s industrial strength, Michigan could become an increasingly important hub for developing and manufacturing clean energy technologies, such as battery storage.

The MPSC is now in the process of reviewing DTE Energy’s IRP, and the public will have opportunities to offer feedback. The MPSC can approve the IRP or reject it and give DTE Energy 60 days to submit revisions. The entire process could take about a year.

Join the Conversation

How do you think DTE Energy’s plans to provide electricity in the years ahead will impact Michigan? What parts of DTE Energy’s IRP do you support or oppose? What areas do you feel are important in an IRP? Share your views by joining the conversation on Facebook and LinkedIn.

What’s in DTE Energy’s 2022 IRP?

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