With some members citing concern about the impact of ongoing federal funding cuts by the Trump administration, Ann Arbor’s city council on Monday voted down a proposal to study the cost of taking over control of energy infrastructure from DTE Energy, and creating a public entity to power the city.
In response, the group Ann Arbor for Public Power, which advocates for full municipalization of Ann Arbor’s energy infrastructure, says it's planning a ballot petition to further the cause.
Councilwoman Ayesha Ghazi Edwin voted against the study proposal. In an interview with Michigan Public, she said she agrees with the goals of Ann Arbor for Public Power, but didn’t want to spend nearly two million dollars on a study in the midst of budget uncertainty caused by the Trump administration’s ongoing federal budget cuts.
“We are under these almost apocalyptic-like conditions that the entire nation is grappling with,” Ghazi Edwin said. “We’ve had immense cuts to social services.”
The proposal failed via a 5-5 vote, with one member absent from Monday’s meeting, as first reported by MLive.
Ghazi Edwin said the nearly two million dollars allocated for the failed study proposal will return to the city’s general fund. She hopes to advocate for more municipal funding to support social services.
“I think during a time when federal funding… is being cut, these organizations will rely more and more on municipal government,” Ghazi Edwin said.
Many Ann Arbor residents have long complained about increasing energy costs from DTE, and concerns about power outages.
In 2020, Ann Arbor adopted a goal of reaching carbon neutrality by 2030. Mayor Christopher Taylor, who voted in favor of the failed municipalization study proposal, said reaching that goal is now harder because of the Trump administration’s “hostility” toward carbon neutrality efforts.
“We have a community that is committed to the goal, so we’re going to continue do our best,” Taylor said. “And every bit of carbon that we take out of the atmosphere is a benefit.”
Among the initiatives that are part of Ann Arbor’s carbon neutrality plan, dubbed “A2Zero,” is a supplemental energy utility approved by voters in 2024. It won’t replace DTE Energy, but will supplement the energy network with renewable energy from local solar and battery storage systems installed at homes and businesses. The city says the program has a waitlist of over 800 subscribers.
DTE Energy has announced plans to reduce carbon emissions, but plans to continue burning natural gas while pursuing carbon sequestration.
Brian Geiringer, Executive Director of Ann Arbor for Public Power (whose members call it “A2P2”) said he thinks the proposal's failure has pushed carbon neutrality years down the road.
“We’re setting ourselves onto a path to rely heavily on DTE well into the future,” Geiringer said.
Geiringer said A2P2 plans to launch a ballot petition campaign with the goal of getting on the Ann Arbor ballot for the 2026 general election. He didn’t want to comment on the precise language of the petition, but said the plan would include a future feasibility study. Right now, no one knows how much the effort might cost.
“What we’re seeing in the city of Ann Arbor is huge support for getting rid of DTE,” Geiringer said. “What we expect is to grow this campaign into an unstoppable movement.”
The process of wresting control of energy infrastructure away from DTE Energy would likely take years and involve fighting the utility in court. For now, Ghazi Edwin said the city should continue to work with state lawmakers and the Michigan Public Service Commission to rein in what she describes as the utility's unsatisfactory behavior.
Taylor said council members who voted against the study had legitimate concerns, though he was comfortable with spending the money on it. He said the question of municipalization “is an important one,” for the city to provide the public answers to.
Editor's note: DTE is among Michigan Public's corporate sponsors.
