Michigan Regulators OK DTE Contracts for Google's Van Buren Township Data Center

Michigan regulators have given conditional approval for DTE Energy contracts to power Google's 1-gigawatt data center project in Van Buren Township. This comes after a contentious decision in December by the Michigan Public Service Commission (MPSC) to grant fast-tracked, 'ex parte' approval of similar contracts for Oracle and OpenAI's 1.4-gigawatt data center in Saline Township.

The MPSC order ensures that the special contracts for Google cover generation, transmission, distribution, and other costs, protecting existing customers. The primary supply agreement provides for a 20-year contract duration, minimum monthly billing demand of 80% of the contract capacity, and a termination payment to ensure Google LLC will pay for at least 15 years of minimum monthly charges.

Google must also pay for the development of up to 1,600 megawatts of renewable energy and 480 MW of battery energy storage by DTE Electric. The data center is expected to begin service in December 2027 and achieve maximum load by December 2028. DTE spokesperson Ryan Lowry said Google will cover the full cost of powering its data center.