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PSC Staff Files Testimony in Electric Utility’s Rate Case
Supports Large Load Transition Mechanism Subject to Conditions
On August 24, 2026 DTE filed testimony and exhibits in DTE electric rate case.
In response Staff of the Michigan PSC filed direct testimony.
Among other things, recommended that the Michigan PSC approve DTE’s proposed Large Load Transition Mechanism (LLTM) subject to modifications: (i) “continuation of the LLTM beyond the test period,” given that DTE’s “proposal does not include enough clarity, certainty or firm commitments to ensure ratepayer benefits beyond the test period”; (ii) “establishing an LLTM regulatory liability mechanism for Google that would have the same exact construct as the LLTM approved for Oracle”; (iii) “approving an interest rate on the LLTM regulatory liability accrual as described by Staff witness Nichols”; and (iv) “substation clarifications/considerations that feed into the calculation of the LLTM regulatory liability as described by Staff witness Rademacher.”
Staff also noted that DTE “has not made any 17 firm commitments to refrain from filing another rate case within the instant rate case or 18 any other MPSC proceeding,” its press release on the matter notwithstanding.
Staff also (i) “presents a total projected rate base of” ~$25.4 billion, a decrease of ~$468 million from DTE’s projection; (ii) projects a revenue deficiency of ~$239 million, a decrease of ~$235 million from DTE’s projection; and (iii) said its proposed “electric rate design results in an overall increase of 5.3% over present residential rates,” 1.6% to general service secondary rates, and 2.7% to primary rates.
