Michigan’s DTE Energy made official its plans to lean heavily on renewable energy and move away from coal by 2032, the company said in a news release.
DTE Energy recently filed a settlement agreement with the Michigan Public Service Commission (PSC) that outlines a 20-year plan to transition to renewable energy by investing in solar and wind power and developing new energy storage. The settlement agreement, which has been developed over the past two years in consultation with stakeholders and customers, still needs to be approved by the commission, according to the press release.
The company said it has accelerated the retirement of its Monroe coal-fired power plant from 2035 to 2032, while its Belle River coal-fired power plant will be converted to run on natural gas “at a fraction of the cost of building a new power plant.” According to the filing with the Michigan PSC, the proposed conversion will cost $125 million.
The moves will reduce the company’s coal use from 77 percent in 2005 to zero percent in less than three decades, DTE Energy said. “Natural gas and other 24/7 resources like the company’s carbon-free Fermi II nuclear power plant play an important role in a diverse energy mix and will significantly reduce emissions while provide reliable and affordable energy to meet periods of high customer demand.” , the company added.
In the proposed plan, DTE Energy aims to develop more than 15,000 megawatts (MW) of renewable energy by 2042, which it said is equivalent to powering about four million homes. The company also aims to accelerate the development of energy storage to 780 MW by 2030 and eventually reach more than 1,800 MW of storage by 2042.
With the plan, DTE Energy said it will exceed its previous carbon emission reduction targets with a target of 85% reduction by 2032, 90% reduction by 2040 and net zero emissions by 2050.
“Our CleanVision Integrated Resource Plan will end our use of coal by 2032 while developing enough Michigan-made renewable energy to power approximately 4 million homes,” said DTE Energy President and CEO Jerry Norcia. “Today’s landmark agreement is an investment in Michigan’s future, and we are grateful that 21 organizations from across Michigan have come together to bring our proposal one step closer to reality.”
“We’re also proud that this plan puts our customers first by reducing the future costs of our clean energy transformation by $2.5 billion, while reliably generating cleaner, more affordable energy now and for generations to come “, Norcia added.
“We are proud to be Michigan’s largest producer and investor in renewable energy. Through our CleanVision Plan, we will invest $11 billion over the next 10 years, helping to retain and grow businesses in Michigan while ensuring that the state meets its sustainability goals. This plan also continues our commitment to our employees, customers and communities, and we will allocate an additional $110 million to support our most vulnerable customers. We appreciate the contributions of all groups interest while we wait for the MPSC’s decision on the plan”, concluded Norcia.
Detroit-based DTE Energy is a diversified energy company engaged in the development and management of energy-related businesses and services across the country, according to the company’s website. Its operating units include DTE Electric, an electric utility serving 2.3 million customers in Southeast Michigan, and DTE Gas, a natural gas utility serving 1.3 million customers in Michigan. The company owns and operates 278 storage wells representing approximately 34 percent of the underground working capacity in Michigan.
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