v3.26.1
Significant Accounting Policies (Tables)
 6 Months Ended
Jun. 30, 2026
Accounting Policies [Abstract]  
Schedule of Other Income
The following is a summary of DTE Energy's Other income:
Three Months Ended June 30,Six Months Ended June 30,
2026202520262025
(In millions)
Allowance for equity funds used during construction$35 $22 $70 $46 
Contract services12 11 29 20 
Investment income(a)
9 7 10 8 
Equity earnings of equity method investees4 4 7 11 
Other6 5 9 8 
$66 $49 $125 $93 
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(a)Investment losses are recorded separately to Other expenses on the Consolidated Statements of Operations.
The following is a summary of DTE Electric's Other income:
Three Months Ended June 30,Six Months Ended June 30,
2026202520262025
(In millions)
Allowance for equity funds used during construction$34 $22 $68 $46 
Contract services13 11 29 20 
Investment income(a)
8 6 9 7 
Other4 3 7 5 
$59 $42 $113 $78 
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(a)Investment losses are recorded separately to Other expenses on the Consolidated Statements of Operations.
Schedule of Effective Income Tax Rate Reconciliation The tables below summarize how the Registrants' effective income tax rates have varied from the statutory federal income tax rate:
Three Months Ended June 30,Six Months Ended June 30,
2026202520262025
DTE Energy
Statutory federal income tax rate21.0 %21.0 %21.0 %21.0 %
Increase (decrease) due to:
State and local income taxes, net of federal benefit3.9 4.2 5.1 4.2 
Investment tax credits(20.9)(13.7)(27.2)(13.2)
Production tax credits(13.8)(10.2)(17.1)(10.4)
TCJA regulatory liability amortization(4.8)(4.8)(5.9)(4.6)
AFUDC equity(2.1)(2.0)(2.9)(1.6)
Nondeductible EES Coke penalty(a)
— — 4.3 — 
Enactment of Illinois income tax legislation, net of federal benefit— 5.9 — 2.1 
Other(0.3)— (0.3)(0.1)
Effective income tax rate(17.0)%0.4 %(23.0)%(2.6)%
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(a)For further discussion of the EES Coke legal matter, see Note 12 to the Consolidated Financial Statements, "Commitments and Contingencies."
Three Months Ended June 30,Six Months Ended June 30,
2026202520262025
DTE Electric
Statutory federal income tax rate21.0 %21.0 %21.0 %21.0 %
Increase (decrease) due to:
State and local income taxes, net of federal benefit5.4 5.6 5.5 5.6 
Investment tax credits(18.6)(16.3)(19.9)(16.2)
Production tax credits(6.1)(6.6)(6.2)(6.8)
TCJA regulatory liability amortization(4.0)(4.7)(4.1)(4.6)
AFUDC equity(2.2)(2.1)(2.4)(2.0)
Other(0.2)(0.3)(0.3)(0.3)
Effective income tax rate(4.7)%(3.4)%(6.4)%(3.3)%
Schedule of Financing Receivables Classified by Internal Grade of Credit Risk
The following represents the Registrants' financing receivables by year of origination as determined by the date the original agreement was executed, classified by internal grade of credit risk, including current year-to-date gross write-offs, if any. The related credit quality indicators and risk ratings utilized to develop the internal grades have been updated through June 30, 2026.
DTE Energy
Year of Origination
202620252024 and PriorTotal
(In millions)
Notes receivable
Internal grade 1$38 $247 $30 $315 
Internal grade 22 14 1,268 1,284 
Total notes receivable(a)
$40 $261 $1,298 $1,599 
Net investment in leases
Internal grade 1$— $— $34 $34 
Internal grade 2— — 1 1 
Total net investment in leases(a)
$— $— $35 $35 
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(a)The current portion is included in Current Assets — Other on DTE Energy's Consolidated Statements of Financial Position.
DTE Electric
Year of Origination
202620252024 and PriorTotal
(In millions)
Note receivable — Internal grade 1(a)
$14 $247 $27 $288 
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(a)The noncurrent portion is included in Other Assets — Other on DTE Electric's Consolidated Statements of Financial Position.
Schedule of Roll-Forward of Activity for Financing Receivables Credit Loss Reserves
The following tables present a roll-forward of the activity for the Registrants' financing receivables credit loss reserves:
DTE EnergyDTE Electric
Trade accounts receivable
Other receivables(a)
TotalTrade and other accounts receivable
(In millions)
Beginning reserve balance, January 1, 2026$59 $3 $62 $41 
Current period provision58 — 58 30 
Write-offs charged against allowance(56)— (56)(38)
Recoveries of amounts previously written off19 — 19 13 
Ending reserve balance, June 30, 2026$80 $3 $83 $46 
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(a)Other receivables includes reserves on notes receivable and Accounts receivable — Other.
DTE EnergyDTE Electric
Trade accounts receivable
Other receivables(a)
TotalTrade and other accounts receivable
(In millions)
Beginning reserve balance, January 1, 2025$69 $3 $72 $46 
Current period provision69 — 69 44 
Write-offs charged against allowance(116)— (116)(74)
Recoveries of amounts previously written off37 — 37 25 
Ending reserve balance, December 31, 2025$59 $3 $62 $41 
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(a)Other receivables includes reserves on notes receivable and Accounts receivable — Other.
Schedule of Uncollectible Expense
Uncollectible expense for the Registrants is primarily comprised of the current period provision for allowance for doubtful accounts and is summarized as follows:
Three Months Ended June 30,Six Months Ended June 30,
2026202520262025
(In millions)
DTE Energy$31 $20 $58 $46 
DTE Electric$17 $13 $30 $23