DTE Electric company completes third green bond offering

Rhea-AI Summary

DTE Electric Company successfully completed its third green bond offering, raising $1 billion to fund clean energy investments. This initiative aims to bolster the development of solar and wind farms and enhance energy efficiency programs in Michigan. With this recent issuance, DTE has now issued approximately $2 billion in green bonds since its first offering in May 2018. DTE's commitment to reducing carbon emissions is among the most aggressive in the energy sector, with aspirations to achieve net zero emissions by 2050.

Positive

• Raised $1 billion in green bonds for clean energy investments.
• Total green bonds issued reached approximately $2 billion.
• Funding will support the development of solar and wind farms.
• Strengthening energy efficiency programs for utility customers.

Negative

• None.

$1 billion in green bonds to finance carbon-free investments

Detroit, March 30, 2021 (GLOBE NEWSWIRE) -- DETROIT, March 30, 2021— DTE Energy’s (NYSE:DTE) subsidiary, DTE Electric company, completed its third offering of green bonds on Monday, March 29. The $1 billion bond offering will finance green, or clean, energy investments, including renewables and energy efficiency programs. In its initial green bond offering in May 2018, DTE became the fifth investment-grade energy company in the nation – and the first company in Michigan – to sell green bonds. With this latest offering, DTE Electric has now issued approximately $2 billion of green bonds.

“DTE’s progress toward our net zero aspiration gains more momentum with every year,” said Jerry Norcia, DTE Energy President and CEO. “Green bonds help fund that progress as we work to achieve a cleaner, more sustainable energy future.”

A DTE Electric green bond will help to:

• Fund the development and construction of solar and wind farms, including the transmission infrastructure to support renewable energy facilities, and
• Strengthen energy efficiency programs to help Michigan residents and businesses save energy and reduce bills.

DTE’s carbon emission reduction plan is among the most aggressive and was one of the first to be announced in the nation’s energy industry in 2017 – committing the company to significantly higher levels of renewable energy generation and energy efficiency programs, while maintaining reliability and affordability for customers.

About DTE Energy 

DTE Energy (NYSE: DTE), DTE Electric company’s parent, is a Detroit-based diversified energy company involved in the development and management of energy-related businesses and services nationwide. Its operating units include DTE Electric, serving 2.2 million customers in Southeast Michigan and DTE Gas, serving 1.3 million customers in Michigan. The DTE portfolio includes energy businesses focused on power and industrial projects; renewable natural gas; natural gas pipelines, gathering and storage; and energy marketing and trading. As an environmental leader, DTE intends to reduce carbon dioxide and methane emissions in its utility operations by more than 80 percent by 2040 from 2005 levels, in an effort to produce cleaner energy while keeping it safe, reliable and affordable. DTE Electric and DTE Gas aspire to achieve net zero carbon and greenhouse gas emissions by 2050. DTE is committed to serving with its energy through volunteerism, education and employment initiatives, philanthropy and economic progress.

This news release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of, any securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. DTE Electric has filed a registration statement (including a prospectus) with the SEC with respect to the securities and the offering referred to in this communication.  The offering of such securities may be made only by means of a prospectus supplement and accompanying prospectus.  You may get these documents for free by visiting EDGAR on the SEC website at https://www.sec.gov/. Alternatively, you may obtain a copy of the prospectus and the prospectus supplement by calling BofA Securities, Inc. toll free at 800-294-1322, Citigroup Global Markets Inc. toll free at 800-831-9146, J.P. Morgan Securities LLC collect at 212-834-4533, Scotia Capital (USA) Inc. toll free at 800-372-3930 or Wells Fargo Securities, LLC toll free at 800-645-3751.

FAQ

What are the details of DTE's recent green bond offering?

DTE Electric Company completed a $1 billion green bond offering on March 29, 2021, to finance clean energy projects.

What is the purpose of the funds raised from DTE's green bond?

The funds will be used for the development of solar and wind farms and to enhance energy efficiency programs in Michigan.

How much has DTE Electric raised in green bonds to date?

DTE Electric has raised approximately $2 billion in green bonds since its initial offering in May 2018.

What is DTE's goal for carbon emissions?

DTE aims to achieve net zero carbon and greenhouse gas emissions by 2050.