DTE Energy : Chairman and CEO Gerry Anderson supports proposed legislation in State Senate Committee testimony

LANSING, Mich. - In testimony today before the Michigan Senate Energy and Technology Committee, DTE Energy Chairman and CEO Gerry Anderson urged the panel to adopt energy policy legislation proposed by committee Chairman Mike Nofs and Vice Chairman John Proos.

Anderson said the proposed reforms would help Michigan assure a reliable energy supply for Michigan families and businesses and avoid a power shortfall. Two factors combine to create that potential shortfall, he said, the retirement of power plants fueled by coal and the 2008 rules governing the state's retail energy market.

'Since the 2008 legislation capped Retail Open Access (ROA) at 10 percent, deregulated energy providers have relied on that existing generation to serve their customers,' Anderson said. 'While this was workable from a reliability standpoint for a time, it is not sustainable going forward as those plants are shutting down.'

Michigan will retire 60 percent of its coal-fired generation, 30 percent of its total generation, in the next 15 years. DTE and other utilities will replace those plants with clean gas-fired plants and renewable generation to serve utility customers. But without a power plant supporting the choice customers, the entire grid could be put at risk.

Anderson told the committee that the Michigan Public Service Commission raised this issue in a report last year. 'They point to 2016 plant retirements as cause for concern,' he said.

In that report, the Commission cites 'a gap in planning and procurement of adequate resources for the long-term for customers served under the Customer Choice Program.'

In testimony Wednesday to the same committee, Melissa Seymour, executive director of the Midcontinent Independent System Operator (MISO), told legislators that the lower peninsula of Michigan faces the most critical generation capacity deficit of the nine regions MISO serves.

Anderson told the legislators that they can fix these problems. 'The legislation before you today addresses these issues,' he said. 'It provides a framework for a long-term plan by holding all energy providers accountable for their share of local supply reliability.'

He urged the committee to 'secure Michigan's energy future' by voting in favor of the bills. 'Doing so would shift the coming transformation from a challenge to an opportunity for our state and benefit Michigan's families and businesses for decades to come.'

About DTE Energy

DTE Energy (NYSE:DTE) is a Detroit-based diversified energy company involved in the development and management of energy-related businesses and services nationwide. Its operating units include an electric utility serving 2.2 million customers in Southeastern Michigan and a natural gas utility serving 1.2 million customers in Michigan. The DTE Energy portfolio includes non-utility energy businesses focused on power and industrial projects, natural gas pipelines, gathering and storage, and energy marketing and trading. As one of Michigan's leading corporate citizens, DTE Energy is a force for growth and prosperity in the 450 Michigan communities it serves in a variety of ways, including philanthropy, volunteerism and economic progress. For more information about DTE Energy, visit dteenergy.com, twitter.com/dte_energy and facebook.com/dteenergy.

DTE Energy Company issued this content on 28 April 2016 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 28 April 2016 19:24:41 UTC

Original Document: https://dteenergy.mediaroom.com/index.php?s=26817&item=137030