DTE Energy Signs Michigan Supplier Deals Totaling More Than $115 Million
DETROIT -- DTE Energy awarded contracts totaling more than $115 million in new business to Michigan companies, as part of its Pure Michigan Business Connect Initiative commitment.
In the last six months, DTE Energy's supply chain management team has closed deals with three metropolitan Detroit renewable energy companies to provide wind and solar services.
Nova Consultants Inc. of Novi was awarded a solar engineering contract McNaughton McKay Electric of Madison Heights was awarded a solar panel contract Barton Malow Co. of Southfield was awarded a wind energy procurement and construction contract Terms of the individual contracts weren't disclosed. However, the contracts collectively constitute $115 million in new Michigan business.
"We believe that Michigan companies can compete with anyone," said DTE Energy CFO Dave Meador. "Doing business with strong third-party contractors that deliver quality products is not only good for DTE Energy, it's just good business."
Announced over the summer by Gov. Rick Snyder, the Pure Michigan Business Connect Initiative is a multi-billion dollar public-private program designed to prepare and develop Michigan suppliers to provide services to companies in the state.
DTE Energy has pledged to invest $750 million over the next five years to do business with Michigan based suppliers, as part of the Pure Michigan Business Connect Initiative. Last year, DTE Energy spent more than $475 million with Michigan companies, including $81 million with companies headquartered in Detroit.
The overall figure represented about 40 percent of DTE Energy's overall spend on goods and services -- about $1.3 billion -- with Michigan companies. One of the goals of the Pure Michigan Business Connect program is to increase that figure to about 60 percent of total 2010 spending levels.
"DTE Energy's commitment has been to support and encourage the generation of solar energy by engaging with Michigan companies," said Sunil Agrawal, CEO of NOVA Consultants, Inc. "Because of DTE Energy's support, NOVA was able to support several other Michigan companies who have been seeking entry into the solar PV market."
DTE Energy (NYSE: DTE) is a Detroit-based diversified energy company involved in the development and management of energy-related businesses and services nationwide. Its operating units include Detroit Edison, an electric utility serving 2.1 million customers in Southeastern Michigan; MichCon, a natural gas utility serving 1.2 million customers in Michigan; and other non-utility energy businesses focused on gas storage and pipelines, unconventional gas production, power and industrial projects, and energy trading.
