DTE Proposes Gas Plants to Power Data Centers
DTE Electric's long-range plan would add two carbon-capture gas plants while closing the Monroe coal plant and expanding renewables and storage.
Updated on Nov. 8, 2026 in Data Centers
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DTE Electric filed a long-range integrated resource plan with the Michigan Public Service Commission in September 2026. The plan proposes two new gas-fired plants in the Detroit area alongside closing the Monroe coal plant.
Why it matters
DTE says the expanded generation is needed to serve roughly 2.4 gigawatts of new customer load, including contracts with Oracle and Google. Michigan law requires power generation to be carbon-free by 2040, and state regulators will decide whether to approve the plan.
The two proposed gas plants would total 2.1 GW of capacity, paired with 15 GW of renewables and 4.5 GW of storage against the 3 GW Monroe coal plant being retired. Carbon capture and sequestration has not been successfully deployed by U.S. electric utilities, and the plan's performance remains unproven.
The players
DTE Electric
DTE Electric is the electric utility serving southeast Michigan and the Detroit area, and it filed the long-range resource plan.
Michigan Public Service Commission
The Michigan Public Service Commission is the state regulatory body that will study and decide whether to approve DTE's proposal.
Oracle
Oracle is a major technology company that has signed a power contract with DTE Electric as part of the combined 2.4 GW of new customer load.
Google is a major technology company that has signed a power contract with DTE Electric as part of the combined 2.4 GW of new customer load.
The details
The proposed plants would collect carbon dioxide emissions and store them underground, with the first gas plant scheduled to come online in 2031 and the second in 2032. Carbon capture equipment would be added by 2035. Clean energy advocates say the expanded gas generation is meant to accommodate upcoming data centers.
Timeline
2022: DTE filed its prior plan proposing 946 MW of gas generation with carbon capture.
September 2026: DTE filed its current long-range plan with state regulators.
2031: First proposed gas plant is scheduled to go online.
2032: Second proposed gas plant is scheduled to go online.
2035: Carbon capture equipment is scheduled to be added.
Season Trajectory
DTE's 2022 plan first proposed 946 MW of gas with carbon capture, and the current filing expands that approach to 2.1 GW to meet data center demand. The plan tests whether gas-fired generation can serve as a bridge toward Michigan's requirement that power generation be carbon-free by 2040.
If approved, the plan would shape the electricity mix Michigan households and businesses rely on through the 2030s, including the timing of coal plant retirement and new gas capacity. Customer rates would depend on the costs of building and operating the new plants, renewables, and storage.
The takeaway
Utility plans that tie new gas capacity to data center demand put carbon capture to a real test in Michigan. Readers should watch how regulators weigh cost, reliability, and the 2040 carbon-free requirement as the case proceeds.
What happens next
State regulators will study and decide over the coming year whether to approve DTE's proposal.
Further reading
For more on the data center demand driving utility planning, see Data Centers coverage.
Source note: This article includes information reported by Michigan Advance.
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