DTE Energy has sought permission from the Michigan Public Service Commission (MPSC) to build a natural gas-fired power plant of about 1,100MW on existing company property in East China Township, Michigan.
Upon receiving the application, the MPSC has 270 days to review DTE's request and respond. If approved, the new gas-fired plant would be the most efficient power plant in Michigan.
The Detroit-based energy company has set aside nearly $1bn for the power plant, which will provide affordable and reliable electricity for 850,000 homes beginning in 2022.
DTE believes that the natural gas-fired power plant will create approximately 500 jobs during the construction phase. Construction is scheduled to start in 2019.
DTE Electric president and COO Trevor Lauer said: “A fundamental transformation in the way we produce power in Michigan has already begun.
“Last year, we announced three DTE coal-fired power plants will be retired by 2023 and replaced with cleaner, more efficient, reliable and affordable energy, including natural gas and renewable.
“This filing with the MPSC includes nearly a year of research and a competitive bidding process that determined building a natural gas-fired plant is the best solution for our customers due to many factors, including the environment, reliability and affordability."