Proposals could increase typical household electric bills by roughly $155 to $180 per year as utilities seek higher profit rates
Lansing, Mich. — Consumer Reports (CR) launched a campaign today urging the Michigan Public Service Commission (MPSC) to reject substantial new electric rate increases requested by DTE Energy and Consumers Energy, and instead require the state’s largest monopoly utilities to keep electric bills under control, improve reliability, and protect households from unfair costs.
DTE is seeking an additional $474 million in annual revenue from customers, while Consumers Energy is requesting $456 million more. Both proposals would increase residential electric rates by more than 9 percent, adding an estimated $155 to $180 per year to a typical customer’s bill.
“Michigan families cannot keep absorbing rate hike after rate hike,” said Sara Enright, senior director of safety and sustainability at Consumer Reports. “The commission should carefully scrutinize these proposals, consider the impact on Michigan families, and take steps to make energy more affordable for ratepayers.”
A CR fact sheet released alongside the campaign found that Michigan’s electricity prices, including those of DTE and Consumers Energy customers, have risen over 17 percent in the past three years. Consumers Energy has sought an electric rate increase every year for the past six years, while DTE has filed five rate cases in the past seven years. DTE has said it would pause new general rate cases for two years, if regulators approve a proposed data center power-supply agreement.
While costs rise for hard-working Michigan families, the profits of the state’s largest utilities and their parent companies have grown significantly. DTE reported nearly $1.5 billion in earnings for 2025, while Consumers Energy parent company CMS Energy reported more than $1 billion in profit. For an average monthly electric bill of $150, CR’s fact sheet indicates that approximately $25 goes to DTE’s profit and approximately $20 supports Consumers Energy’s profit.
Both utilities are also asking the MPSC to authorize a 10.25 percent return on equity, up from the current 9.9 percent. Return on equity is the profit rate utilities are allowed to earn on certain expenditures paid for by customers. Increasing that rate would allow shareholders to earn more from utility spending, and would push household bills even higher.
The proposed rate increases also come as Michigan residents continue to experience frequent and prolonged power outages. “Before approving additional costs, regulators should ensure that DTE and Consumers Energy are delivering the reliable service customers already pay for,” Enright added.
Michigan consumers have a right to weigh in on decisions that could increase their electric bills, and are urged to, depending on which company they receive service from, sign on to CR’s petition to Consumers Energy or DTE. Michigan residents can also share their story about how rising electricity costs are affecting their household.
Consumers can further submit comments directly to the MPSC in DTE Electric Case U-22046 or Consumers Energy Case U-22070.
CR’s work in Michigan is part of a broader energy affordability initiative, which is mobilizing consumers nationwide to advocate for fair utility policies as electricity costs continue to rise. Through petitions, consumer storytelling, research, and policy advocacy, CR is working to ensure that households—not just utilities and the technology industry—have a meaningful voice in decisions that determine who pays for America’s rapidly expanding electric grid.
As utilities across the country seek approval for billions of dollars in new infrastructure investments, CR is expanding its work with consumers, policymakers, and advocates in multiple states to promote affordable electricity, fair cost allocation, and greater accountability in utility and data center regulation.
Contact: cyrus.rassool@consumer.org