This week, Governor Gretchen Whitmer announced the Michigan Affordable and Responsible Growth Action Plan to ensure that companies pay the full cost of data center construction and operation, strengthen our electric grid, safeguard our natural resources, and are accountable for their development. 

“It’s simple: any data center company that wants to invest in Michigan must ensure working families do not pay a single penny for data center development or operations, protect our natural resources, and create local, good-paying jobs,” said Governor Whitmer. “On my watch, Michiganders have been protected from any rate increases due to data center development and we adopted some of the strongest protections for people and communities, but we need to do more. I’m calling on all data center companies to sign the pledge, and on the Michigan legislature to codify every single one of our guardrails in Michigan law. Let’s keep working together to grow our economy responsibly and build a Michigan where every family can afford to thrive.” 

As part of the plan, the governor is calling on data center companies to sign on to the Michigan Affordability and Responsible Growth Pledge, which outlines the state laws and orders from the Michigan Public Service Commission (MPSC) that data center companies must follow to protect Michigan consumers from higher energy bills, safeguard Michigan’s environment, be transparent, and create good-paying local jobs for Michiganders. The plan also calls on the legislature to adopt similar guardrails for data centers to protect ratepayers, including codifying the protections that the MPSC put into place to further ensure data centers pay the full costs they are putting on the system.  

“As Americans confront the rapid growth of AI data centers, Michigan is stepping up with fellow states to raise the bar for ratepayer protections and environmental safeguards,” said Casey Katims, Executive Director of U.S. Climate Alliance. “We applaud Governor Whitmer’s efforts to hold data center companies accountable to lower people’s costs, strengthen grid reliability, protect clean air and water, and comply with the state’s strong clean energy standards.” 

The Michigan Affordable and Responsible Growth Action Plan includes two key pillars. First, the governor’s call on members of the legislature to adopt the data center safeguards already put in place by the Michigan Public Service Commission into state law including: 

• minimum billing demand  
• contract termination fees 
• credit and collateral requirements  
• minimum contract terms and  
• other efforts to ensure data centers are paying the full costs they are putting on the system.

Second, the Michigan Affordability and Responsible Growth Pledge, a package of commitments by signees to create good-paying jobs and ensure companies pay for all their own costs, including water and energy, so Michiganders do not see any additional costs. 

Both aspects of the Michigan Affordable and Responsible Growth Action Plan will hold data centers accountable for their development and cement Michigan’s leadership as the home to some of the strongest data center guardrails in the nation. 

Read more on the Michigan Affordability and Responsible Growth Pledge here: FULL TEXT.

_{Release courtesy of Gov. Whitmer.}