Why It Matters
Michigan Attorney General Dana Nessel has challenged a major utility rate increase that could affect millions of state residents and businesses. DTE Energy’s natural gas rate request, if approved as submitted, would raise costs for customers across Michigan. Nessel’s intervention seeks to redirect the proposed increase toward customer affordability and infrastructure investments rather than what she characterizes as excessive corporate expenses. The outcome will determine how much Michigan households and businesses pay for natural gas heating and cooking over the coming years.
What Happened
On Friday, March 21, 2026, Michigan Attorney General Dana Nessel filed official testimony with the Michigan Public Service Commission challenging DTE Energy’s natural gas rate increase request. DTE, one of the state’s largest energy providers, submitted its request in November 2025, seeking a 10% overall rate increase affecting its customer base.
Nessel’s filing included testimony from four industry experts who recommend limiting the increase to $34.8 million instead of DTE’s requested amount. The Attorney General’s position emphasizes three priorities: customer affordability, fleet electrification studies, and expanded payment options for low-income and vulnerable customers.
In her statement, Nessel criticized DTE’s request as “bloated” and “unjustified,” accusing the utility of seeking excessive costs while maintaining record profits. The filing represents the state’s formal opposition to the rate request before the Michigan Public Service Commission, which has regulatory authority over energy companies operating in Michigan.
DTE responded through Director of Corporate Communications Jill Wilmot, stating that the company recognizes affordability concerns and works to balance infrastructure investments with keeping bills manageable. Wilmot noted that no rate changes will take effect until the commission reaches a final decision on the case.
By the Numbers
- $237.5 million: The total natural gas rate increase DTE requested
- 10%: The overall percentage rate increase DTE sought across its customer base
- $34.8 million: The maximum increase Nessel’s experts recommend approving
- 85%: The reduction Nessel seeks in DTE’s original request
- Four: The number of industry experts who provided testimony supporting Nessel’s position
Zoom Out
DTE Energy’s rate requests reflect broader national trends in utility regulation. Large energy providers across the United States regularly seek rate increases to fund infrastructure modernization and maintenance. These requests frequently encounter regulatory scrutiny and opposition from state attorneys general and consumer advocates who argue that proposed increases exceed actual necessary costs.
The timing of DTE’s natural gas request follows a separate electric rate increase request filed by the same company. Both filings came shortly after DTE’s previous rate increase received commission approval, drawing criticism from Nessel, state lawmakers, and environmental advocates. This pattern of successive rate requests has become increasingly common among major utilities nationwide seeking to fund aging infrastructure repairs and system upgrades.
State attorneys general have become more active in challenging utility rate increases over the past five years. Consumer advocacy organizations and environmental groups increasingly collaborate with state attorneys general offices to present expert testimony opposing or modifying rate requests. The focus on affordability for low-income customers and support for electrification initiatives reflects evolving priorities in utility regulation that balance infrastructure needs with climate and equity goals.
What’s Next
The Michigan Public Service Commission will review all filed testimony, including Nessel’s expert submissions and DTE’s response materials. The commission will conduct a formal regulatory proceeding where parties present evidence and arguments supporting their positions. This process typically involves discovery of additional information, technical hearings, and opportunities for public comment.
The MPSC will ultimately issue a decision determining the allowable rate increase amount, if any. Until the commission reaches a final order, DTE’s rates remain unchanged for customers. The timeline for a final decision has not been announced. Once the commission issues its order, either party may seek judicial review if they believe the decision contradicts state law or regulatory standards.
Nessel’s testimony and expert filings become part of the official record that the MPSC commissioners will evaluate before issuing their final determination. The outcome will establish the rate structure for DTE’s natural gas customers over the subsequent rate cycle period.