A proposed data center in Saline Township, Michigan, is moving forward after DTE received approval to supply power.

The Michigan Public Service Commission approved DTE's contracts on Thursday, with the condition that the utility company be responsible for any costs associated with the development and operation of the data center, according to a news release. DTE also agreed to update its emergency procedures and interrupt or reduce the data center's load before interrupting services to residents and businesses in the event of an emergency.

DTE issued the following statement on Monday:

"We appreciate the Michigan Public Service Commission's review and approval of our special contracts for Oracle's data center project. These contracts protect our customers — including ensuring that there will be no stranded assets — while enabling Michigan's growth. DTE Energy has an obligation to serve any customer, including data centers, that come into our electric service territory in southeast Michigan. 

"That's why we've been so focused on making sure our broader customer base is protected with these contracts to ensure they will not subsidize data center rates. We acknowledge there's a range of viewpoints and emotions about this decision. We remain deeply committed to supporting our customers and the communities we serve by delivering the safe, reliable energy they depend on each day."

DTE will undergo a minimum 19-year contract as opposed to the standard five-year agreement for new industrial customers of 1,000 megawatts or more. 

The data center is also required to pay at least 80% of its billing and pay 10 years' worth of billing if the stopping operations earlier than contracted.

The approval was contingent on DTE agreeing to those conditions.

"These protections will ensure that Michigan is able to reap the benefits of adding a significant new energy user to the grid while keeping any related costs off the utility bills of other customers," MPSC Chair Dan Scripps said in the news release. 

"In written comments filed with the Commission and at a public hearing the MPSC held Dec. 3, the MPSC heard from thousands of Michiganders concerned about the risks of higher utility bills for everyday customers and reversal of progress the state has made in decarbonizing its energy production," Scripps added. "The MPSC shares those concerns and finds that today's approval enacts strong protections for ratepayers against the risk of stranded costs and cost subsidization. The order shields DTE Electric customers from future price risk while supporting economic development."  

OpenAI announced the new data center in Washtenaw County on Oct. 30, 2025. The new 1,383 megawatt Stargate facility comes after the tech giant announced six data center sites across the U.S.

Meanwhile, the discussion of data centers in Michigan has expanded to other cities, including Southfield and Howell Township.

Attorney General Dana Nessel says she was "extremely disappointed" in the commission's decision to approve the contracts.

In a statement, Nessel said, in part, "While I am relieved that the Commission at least purports to have placed some conditions on DTE's application, without being able to see the full, unredacted contract, and study the predicate conditions and enforcement mechanisms set by the Commission, it is impossible to verify any of these claims today. As Michigan's chief consumer advocate, my office is reviewing the Commission's order and considering what next steps we may be able to take to protect our residents."

"This secret contract still leaves Michiganders scrounging for hidden and vital details that could harm ratepayers should these AI corporations leave, move out of state, or simply go bankrupt. None of the conditions proposed by the Commission will bring these terms into public view, including what exit fee provisions might be in effect before December 2027."