Michigan regulators OK DTE contracts for Google data center

Michigan's Public Service Commission voted unanimously to conditionally approve DTE Energy's contracts to power Google's 1-gigawatt data center in Van Buren Township, the state's first hyperscale data center deal decided through a contested case rather than fast-tracked approval. The same day, Wayne County's commission overrode County Executive Warren Evans' veto of a tax exemption for the project worth more than $125 million.

The approved terms include a 20-year contract, minimum monthly billing at 80% of contract capacity, and a termination payment guaranteeing at least 15 years of minimum charges — plus a requirement that Google fund up to 1,600 megawatts of renewable energy and 480 MW of battery storage. DTE says Google will cover the full cost of powering the facility; the data center is expected to reach maximum load by December 2028.

Attorney General Dana Nessel had pushed for stronger protections, including a 90% minimum billing demand and a termination payment based on 100% of remaining contract months, arguing ratepayers could be stuck with stranded infrastructure costs if Google's power use falls short or the facility closes early. The Environmental Law & Policy Center says the commission protected ratepayers on cost but failed to push Google toward funding distributed grid solutions.

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