Gov. Whitmer Launches Michigan Affordable and Responsible Growth Action Plan
Governor Gretchen Whitmer launched the Michigan Affordable and Responsible Growth Action Plan to regulate data center development across the state. The plan aims to ensure companies pay the full costs of operation, protect natural resources, strengthen the electric grid, and create local jobs. It includes a pledge for data center companies and calls for legislative action to codify safeguards.
Michigan Governor Gretchen Whitmer unveiled the Michigan Affordable and Responsible Growth Action Plan, a comprehensive initiative aimed at ensuring data center companies investing in the state are fully accountable for their development and operations. The plan emphasizes that working families should not incur any costs from data center development and operations, while also protecting Michigan's natural resources, strengthening its electric grid, and fostering local job creation.
The plan is built on two main pillars: a call to the Michigan Legislature to codify existing data center safeguards, such as minimum billing demand, contract termination fees, credit requirements, and minimum contract terms, which are already in place through the Michigan Public Service Commission (MPSC). These measures are designed to ensure data centers cover the full costs they impose on the system. The second pillar is the Michigan Affordability and Responsible Growth Pledge, which asks data center companies to commit to responsible investment, transparent operations, and partnership with communities.
The pledge outlines ten key commitments, including ensuring Michiganders never pay for data center energy demands, building or buying new additive power resources to prevent grid strain, signing long-term energy contracts, and complying with Michigan's strong environmental protections for air and water. Companies are also expected to protect freshwater resources by minimizing water use, pay their fair share for water infrastructure, prioritize hiring Michigan workers, and ensure transparency and accountability through regular reporting and public engagement.