The company also flagged an electric rate hike starting Dec. 15, which the Michigan Public Service Commission said would add $6.51 to the bill of a typical customer who uses 500 kilowatt hours of electricity per month.
DTE Energy serves 2.3 million customers in Southeast Michigan via its electric business.
In its business update for 2024, DTE said it expects full-year operating earnings per share (EPS) to be in the range of $6.54 to $6.83 next year.
It cut its 2023 operating EPS outlook to between $5.65 and $5.85 from $6.09 to $6.40 on storm-related expenses and operating and maintenance charges in the previous quarter.
The company said it was in advanced discussions with a few parties on long-term contracts for carbon capture and storage (CCS), intending to invest $80 million to $100 million in the Midwest. The CCS projects would likely start to create value in the 2025-26 time frame, according to CEO Gerardo Norcia.
Detroit-based DTE Energy also said it intended to increase its five-year utility capital spend investment by $2 billion to approximately $25 billion, focusing on grid resilience and renewable.
The firm had previously announced plans to retire its coal plants by 2032 and invest $11 billion towards a transition to clean energy, as the U.S. government proposes to crack down on greenhouse gas emissions from the sector.
Shares of the company were up 0.6% in morning trade.
