DTE Energy Company (DTE - Free Report) has begun the commercial operation of the largest solar array in the City of Ypsilanti. The company had started construction of the array in Jun 2016 and it was commissioned in September.
About the Array
The Ypsilanti array, with a capacity of 800 kilowatts (“kW”), utilizes 2,520 solar panels, which can almost cover Eastern Michigan University's football field. It will generate enough clean energy for around 150 homes.
Located at the junction of Clark Road and River Street on about five acres of land, the array is owned by Highland Cemetery.
DTE Energy’s Presence in Michigan
DTE Energy is Michigan's largest investor in solar and wind assets. The company is currently working on three additional large-scale solar arrays in the cities of Detroit and Lapeer, which are expected to be complete in 2017. With these installations, DTE Energy’s total number of solar installations in the state will reach 31.
According to Irene Dimitry, Vice President of business and development for DTE Energy, the current installation is part of its long-term plan to build a cleaner and more diversified energy portfolio. The plan also calls for increased focus on sourcing more energy from renewables.
DTE Energy is investing steadily to enhance its renewable generation assets. Over the next 15 years, DTE Electric plans to withdraw a portion of its coal-fired generation, and ramp up contribution from natural gas and renewables.
The company plans to continue investing in wind and solar to maintain a balanced portfolio. Currently, it is constructing 50 megawatts (MW) of solar generation and 50 MW of wind generation, in addition to its commitment to reduce usage through energy optimization programs.
Scope of Alternate Energy
Regulations pertaining to pollution control are becoming increasingly stringent, making it crucial for utilities to spend more on emission control infrastructure. Meanwhile, because of their clean-burning nature, investment in the alternate energy space could prove to be profitable over the long run. In particular, solar energy, which presently contributes to only 1% of the total electricity generation in the U.S., represents ample scope of improvement in the days to come.
Zacks Rank & Other Key Picks
DTE Energy currently holds a Zacks Rank #2 (Buy). A few other favorably placed stocks in the same industry include Hawaiian Electric Industries Inc. (HE - Free Report) , CenterPoint Energy, Inc. (CNP - Free Report) and Xcel Energy Inc. (XEL - Free Report) , each carrying a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Hawaiian Electric witnessed a 1% rise in its stock price in the last five days. On an average, the company recorded a positive earnings surprise of 2.38% in the four trailing quarters.
CenterPoint Energy witnessed a 3.2% rally in its last five days’ stock price. On an average, the company recorded a positive earnings surprise of 5.07% in the four trailing quarters.
Xcel Energy witnessed a 0.3% upside in its last five days’ stock price. On an average, the company delivered a positive earnings surprise of 0.43% in the last four trailing quarters.
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