Nessel Challenges DTE-Google Data Center Contracts

Michigan's attorney general seeks rehearing of state approval for special electricity contracts tied to a Van Buren Township data center.

Updated on Nov. 13, 2026 in Data Centers

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Michigan's attorney general asked state regulators on Nov. 2 to reconsider special electricity contracts approved for DTE Electric to supply a Google data center in Van Buren Township. AI Illustration. Upload story photo >

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Michigan Attorney General Dana Nessel's office filed a petition for rehearing with the Michigan Public Service Commission on Nov. 2, challenging special contracts between DTE Electric and Google approved about a month earlier. The contracts cover a Google data center in Van Buren Township.

Why it matters

The petition argues that the project's costs could be passed on to other customers' rates without more detailed cost and financing figures. The outcome could shape how utilities in Michigan price power for large data center developers.

The data center will draw about 1 gigawatt of power across five buildings on a 282-acre site near Interstate 94. DTE Electric claims the project will deliver a $1.7 billion benefit to other customers, a figure the petition seeks to verify.

The players

Dana Nessel

Michigan's attorney general, who leads the state's legal office and has challenged the contracts on ratepayers' behalf.

DTE Electric Co.

A major Michigan electric utility serving millions of customers, party to the special contracts with Google.

Google

The technology company developing the Van Buren Township data center, a party to the special contracts.

Michigan Public Service Commission

The state regulatory body that approved the contracts and will rule on the rehearing request.

The details

The Michigan Public Service Commission approved the special contracts between DTE Electric Co. and Google on Oct. 1, conditioning them on protections meant to keep other customers from bearing project costs. The Van Buren Township Planning Commission approved the final site plan for the project, dubbed Project Cannoli, on Oct. 14.

Timeline

  1. Oct. 1, 2026: Michigan Public Service Commission approves DTE-Google special contracts.

  2. Oct. 14, 2026: Van Buren Township Planning Commission approves final site plan.

  3. Nov. 2, 2026: Attorney General Dana Nessel's office files petition for rehearing.

Tech Race

The commission's imposition of a 20-year contract and an 80% minimum billing rate reflects a regulatory approach to hyperscale data centers that differs from standard industrial tariffs. The petition frames the test of whether those protections are sufficient as data center demand grows across Michigan.

Michigan ratepayers could see the cost of serving large data centers reflected in their own bills if the contracts' cost protections prove inadequate. The commission's ruling on rehearing will determine whether those protections hold.

The takeaway

Large data center projects can shift electricity costs onto other customers unless regulators require detailed financial disclosure and long-term commitments. The outcome of this rehearing will show how Michigan balances economic development against ratepayer protection.

Further reading

Explore more on Data Centers coverage across Michigan.

Source note: This article includes information reported by The Detroit News.

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