LG Energy Solution Vertech has entered into a supply agreement with DTE Energy to develop Michigan-made battery energy storage systems across the state. In a press release, LG Energy Solution said that, under the agreement, it will deliver eight battery storage projects totaling 1.5 GW/6 GWh over the next two years.

The battery energy storage systems will store excess electricity generated during peak production periods and distribute power to customers as needed during periods of peak demand. This will reduce strain on the grid and decrease the need to frequently start and stop power generation as demand fluctuates. LG Energy Solution will provide battery cells manufactured in Michigan, along with cells from its other U.S. and Canadian facilities, to support this portfolio of projects.

DTE’s commitment through this agreement is expected to support responsible data center development while providing a significant boost to battery energy storage deployment in the state, helping make the electric grid cleaner, more reliable, and more resilient. The utility has identified the resources needed to reliably serve new data center customers without compromising service for existing customers, while remaining compliant with Michigan’s Renewable Portfolio Standard (RPS) and Clean Energy Standard (CES).

About the Agreement

In the case of DTE’s approved contract for the Oracle data center in Saline Township, the battery energy storage systems funded by Oracle are, on their own, sufficient to meet DTE’s share of the state’s 2030 clean energy standard requirement for battery storage. 

“Michigan is a key U.S. manufacturing region for our company, where many of our colleagues live and work,” said Jaehong Park, Chief Executive Officer and President of LG Energy Solution Vertech, the U.S. energy storage division of LG Energy Solution. “We’re thrilled to work with DTE to bring Michigan-made energy storage to our communities. As more U.S.-made energy storage projects are added to the grid, we’re creating opportunities for advanced roles across the state that support our national energy needs.”

“DTE is committed to building a bright future for Michigan,” said Joi Harris, President and Chief Executive Officer of DTE Energy. “By working with LG Energy Solution Vertech to bring more battery storage online through LG Energy Solution’s Michigan manufacturing facility, we’re keeping Michigan at the forefront of technology and economic opportunity—creating well-paying jobs in communities, driving responsible growth, improving reliability for our customers, and investing in clean energy solutions.”