Michigan Attorney General Dana Nessel filed a claim of appeal on Apr. 17 challenging the Michigan Public Service Commission’s (MPSC) conditional approval of two special contracts for a large-scale artificial intelligence data center in Washtenaw County. The contracts, between DTE and Green Chile Ventures, LLC, were approved by the Commission on December 18, 2025, without a contested case hearing despite repeated requests from Nessel’s office.
The case is significant because it could affect how future data center projects are reviewed and approved by state regulators. The Attorney General said that transparency and accountability are needed to protect utility customers from potential risks associated with these types of agreements.
“I’ve sought a contested case review of these data center contracts since they were first filed in October, and the law requires one,” said Attorney General Nessel. “The Commission ignored our request. My office petitioned for rehearing, specifically challenging their application of ex parte process, and the Commission again ignored our plea. So now our only choice, to protect the state and utility customers from the worst hazards and liabilities these contracts pose, is to challenge the Commission’s unlawful approval of these secret data center contracts in the courts.”
Nessel argued that MCL 460.6a(3) allows for contract approvals without hearings only under narrow circumstances—specifically when there will be no increase in cost to ratepayers—and claimed this was not proven in this instance. She also said DTE itself stated that its application was not an alteration or amendment to rates or rate schedules as required by law.
“This appeal is not just about this case, but every future data center case that comes before the Commission,” added Nessel. “Our utility companies are preparing to bring aboard massive new data centers in the years to come. On these first, precedential contracts, we must have clarity from the Court, and hold the MPSC accountable to the law.”
According to the official website, Dana Nessel serves as Michigan’s 54th attorney general with statewide authority through her department aimed at safeguarding residents across Michigan.
The Department has advanced social efforts such as actions against human trafficking and support for vulnerable populations according to its official website. It also focuses on public service initiatives like drafting policies including Michigan’s Clean Slate law for expungement opportunities as reported by its official site.
As next steps unfold in court proceedings regarding this appeal, observers may look toward further legal clarification on how major energy-related agreements are evaluated within Michigan.
