Photo: Conceptual rendering of the data center. Credit: Related Digital
By Kyle Davidson, Michigan Advance
October 30, 2025
A string of announcements from DTE Energy, Open AI and Related Digital coalesced into another notice from Michigan Gov. Gretchen Whitmer late Thursday afternoon, confirming plans to move forward with development of a data center in Saline Township – following a legal settlement between the developer and the host community.
Whitmer lauded the multi-billion dollar project, calling it the largest in Michigan history, with the facility expected to create 2,500 union construction jobs, alongside 450 permanent jobs on site and 1,500 more in the community.
“I’m grateful to these cutting-edge companies for betting on Michigan, building on our work to compete for and win big projects in next-generation industries from cars and clean energy to semiconductors and batteries,” Whitmer said in a statement.
According to the Executive Office of the Governor, Michigan was selected as the site for the facility due to the state’s tech and construction workforce, tax incentives for data center development, and the location’s proximity to Eastern Michigan University in Ypsilanti and the University of Michigan’s Ann Arbor Campus.
Construction on the project is expected to begin in early 2026, with Related Digital and Oracle Cloud developing the facility as part of Oracle’s partnership with Open AI. DTE Energy confirmed it will supply 1.4 gigawatts of load for the facility, marking its first contract with a data center.
Last week, a Washtenaw County judge approved a settlement between Related Digital and Saline Township, with the developer and the owner of the 575 acres of farmland slated for the project filing suit after the Township Board voted 4-1 against rezoning the land for the project, according to a report from Inside Climate News.
The board later voted 4-1 to settle, despite intense opposition from residents and elected officials who raised concerns about traffic, noise, water and energy resources.
Whitmer’s statement aimed to quell some of those concerns, noting the project will not require any additional power generation to operate, and will use a closed loop water cooling system that will not require additional water from the Great Lakes. A traffic study from the Michigan Department of Transportation also found it will have minimal impacts on traffic.
Whitmer’s announcement did not identify the project as a data center, instead referring to the project as an AI infrastructure facility.
DTE also offered assurances that the data center will absorb all new costs required to serve the facility, painting the facility as a win for consumer energy affordability.
However, Tim Minotas, the legislative and political director for the Sierra Club’s Michigan chapter stressed the need for protections to ensure that resources allocated to data centers don’t come at the expense of customers.
“DTE’s announcement today that it will power a massive 1.4-gigawatt data center in Michigan is further proof of what we have been saying since last year: Data centers are coming to Michigan and can pose a threat to our neighborhoods, our economy, energy bills, water and climate without proper guardrails in place,” Minotas said in a statement.
Opposition to data centers swells as more companies set sights on state
Earlier this week environmental advocates rallied at Oakland Community College’s Auburn Hills Campus ahead of a public comment hearing held by the Michigan Public Service Commission, calling for the regulatory body to institute protections against these resource-intensive facilities.
Andrea Pierce, the policy director for the Michigan Environmental Justice Coalition, warned that data centers can deplete groundwater aquifers and disrupt ecosystems through thermal pollution of surface waters, in addition to pollution with PFAS, methane and other harmful chemicals.Michelle Martinez, the inaugural director of the Tishman Center for Social Justice and the Environment at the University of Michigan at a rally against data centers. Oct. 27, 2025 | Photo by Kyle Davidson/Michigan Advance
Speaking with reporters before the meeting, Commission Chair Dan Scripps noted that the regulatory body is currently hearing a contested case with Consumers Energy aimed at ensuring ratepayers are protected from increased costs due to the large energy demand of data centers. Scripps said he expected those concerns would be addressed on a utility by utility basis.
Scripps also noted that there are protections within state law to keep residential, industrial and commercial energy customers from shifting costs from one customer class to another
While speaking with the Michigan Advance Thursday, Nick Dodge, the communications director for the Michigan League of Conservation Voters pointed to the organization’s opposition to legislation creating tax incentives for data centers due to a lack of sufficient protections for ratepayers, water conservation and the environment.
The Michigan League of Conservation Voters does not oppose data centers at their core, Dodge explained, acknowledging their role in the economy and the future of technology. However, it’s critical that when these projects do move forward, there are considerations around energy rates, water conservation and whether that energy is sourced from clean energy or fossil fuels, he noted.
Read the original article here.
Michigan Advance is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. Michigan Advance maintains editorial independence. Contact Editor Jon King for questions: [email protected].
8123 Main St Suite 200 Dexter, MI 48130
