Whitmer Launches Plan to Regulate Michigan Data Center Growth

Governor Gretchen Whitmer unveiled the Michigan Affordable and Responsible Growth Action Plan on Wednesday to manage the expansion of data centers while protecting residents from rising energy costs. The initiative consists of two parts: a request for the Michigan Legislature to codify Michigan Public Service Commission protections—including minimum billing demand, contract termination fees, and credit requirements—into state law, and a voluntary 10-point pledge for companies to sign.

Companies signing the pledge commit to ensuring working families do not pay for data center development, protecting natural resources, and prioritizing local, good-paying jobs. The plan follows community opposition to developments in Allen Park and Oakland University. Technology firms including Google and Oracle have signed the pledge, with Oracle stating its partnership with DTE is projected to provide a $300 million annual net benefit to electricity consumers.

Despite corporate support, the plan faced criticism from environmental groups and some lawmakers. The Michigan Sierra Club and the Michigan League of Conservation Voters argued that voluntary promises are insufficient, calling instead for a temporary moratorium on hyperscale data center approvals until enforceable safeguards are enacted. State Senator Mallory McMorrow also urged the legislature to pass stronger regulations, noting that pledges do not provide guaranteed protections.