Michigan Attorney General Dana Nessel has filed a petition for rehearing with the Michigan Public Service Commission, urging regulators to reconsider their approval of special power contracts for a massive data center project in Washtenaw County. The move comes as the commission's decision to fast-track the deal has raised concerns about long-term impacts on electric rates, grid reliability, and the environment.
The 1.4-gigawatt hyperscale artificial intelligence data center, proposed by DTE Energy and set to be developed with Oracle, OpenAI, and developer Related Digital, is expected to consume as much electricity as nearly one million homes. The project's scale has sparked anxiety among residents, environmental advocates, and consumer watchdogs about the potential risks to ratepayers and the community.
Nessel's office has expressed concerns that the commission's decision was an "irresponsible approach" that cut corners and shut out the public and their advocates. She argues that the approval process served only the interests of DTE and the companies involved, rather than Michigan residents.
The attorney general is seeking clarification on how the conditions imposed by the commission will protect ratepayers, noting that many appear to rely on repeated assurances from DTE, rather than concrete commitments backed by evidence. Nessel also objects to the commission allowing DTE to serve as the project's financial backstop, rather than requiring the data center operator to provide sufficient collateral to cover potential risks.
The Michigan Public Service Commission has defended its decision, stating that its professional staff, advisory staff, and commissioners reviewed unredacted versions of the special contracts and ensured existing customers were protected. However, Nessel remains skeptical about the commission's claims, arguing that the conditions imposed are unclear and may not be enforceable.
As the controversy surrounding "Project Stargate" continues to unfold, residents and environmental groups have raised concerns about wetlands destruction, water contamination risks, and the permanent transformation of a rural farming community. More than 5,000 public comments opposing the data center power deal were submitted to the commission ahead of its December vote.
Nessel's move has sparked tension among Democrats in the state, with Governor Gretchen Whitmer publicly backing the project as "the largest economic project in Michigan history." However, U.S. Senate candidate Abdul El-Sayed has released his own set of "terms of engagement" aimed at protecting communities from higher utility bills, grid strain, and environmental harm.
As the debate over data center projects continues to rage, Nessel's office is determined to ensure that Michigan residents are adequately protected. The attorney general has vowed to demand further clarity on what protections the commission has put in place and continue to push for a full contested case concerning the still-secret contracts.
The 1.4-gigawatt hyperscale artificial intelligence data center, proposed by DTE Energy and set to be developed with Oracle, OpenAI, and developer Related Digital, is expected to consume as much electricity as nearly one million homes. The project's scale has sparked anxiety among residents, environmental advocates, and consumer watchdogs about the potential risks to ratepayers and the community.
Nessel's office has expressed concerns that the commission's decision was an "irresponsible approach" that cut corners and shut out the public and their advocates. She argues that the approval process served only the interests of DTE and the companies involved, rather than Michigan residents.
The attorney general is seeking clarification on how the conditions imposed by the commission will protect ratepayers, noting that many appear to rely on repeated assurances from DTE, rather than concrete commitments backed by evidence. Nessel also objects to the commission allowing DTE to serve as the project's financial backstop, rather than requiring the data center operator to provide sufficient collateral to cover potential risks.
The Michigan Public Service Commission has defended its decision, stating that its professional staff, advisory staff, and commissioners reviewed unredacted versions of the special contracts and ensured existing customers were protected. However, Nessel remains skeptical about the commission's claims, arguing that the conditions imposed are unclear and may not be enforceable.
As the controversy surrounding "Project Stargate" continues to unfold, residents and environmental groups have raised concerns about wetlands destruction, water contamination risks, and the permanent transformation of a rural farming community. More than 5,000 public comments opposing the data center power deal were submitted to the commission ahead of its December vote.
Nessel's move has sparked tension among Democrats in the state, with Governor Gretchen Whitmer publicly backing the project as "the largest economic project in Michigan history." However, U.S. Senate candidate Abdul El-Sayed has released his own set of "terms of engagement" aimed at protecting communities from higher utility bills, grid strain, and environmental harm.
As the debate over data center projects continues to rage, Nessel's office is determined to ensure that Michigan residents are adequately protected. The attorney general has vowed to demand further clarity on what protections the commission has put in place and continue to push for a full contested case concerning the still-secret contracts.