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ARTICLE · 15 DECEMBER 2025

"Network" Effects: Michigan Gears Up For Data Center Growth

Clark Hill Plc
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Following the state legislature's passage of sales and use tax exemptions related to qualified data centers and data center equipment through Public Acts 181 and 207 of 2024, Michigan's two largest electric utilities...

United StatesEnergy and Natural Resources
Stephen A. Campbell
Stephen A. Campbell

Co-authored with Justin Ooms, Varnum LLP

Following the state legislature's passage of sales and use tax exemptions related to qualified data centers and data center equipment through Public Acts 181 and 207 of 2024, Michigan's two largest electric utilities [Consumers Energy Company ("Consumers") and DTE Electric Company ("DTE")] have signaled significant potential growth in data center operations in the coming years. Specifically, in a recent earnings conference call, DTE noted that it is in "advanced discussions with multiple Hyperscalers for over 3 GW of new load" and having "ongoing discussions with multiple other data center opportunities."1 DTE has since filed for approval of a supply agreement and energy storage agreement with Green Chile Ventures, LLC, a subsidiary of Oracle Corporation, to serve a data center with an expected load of 1.4 gigawatts.2 Consumers recently announced that it has "reached an agreement with a new data center, which is expected to

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