February 20 (Renewables Now) - DTE Electric, a unit of Michigan-based utility DTE Energy Co (NYSE:DTE), has launched a USD-650-million (EUR 573.1m) green bond placement, seeking to raise funds for wind, solar and energy efficiency projects.
The bonds mature in 30 years and have an annual fixed coupon of 3.95%, DTE said on Tuesday. Funds from the transaction will go for green investments such as the construction of wind and photovoltaic (PV) parks and transmission infrastructure for renewable energy facilities and will also support energy efficiency programmes in Michigan.
The deal is DTE Electric’s second green bond sale. In its maiden offering in May 2018, the utility sold USD 525 million worth of such securities with the goal of financing low-carbon schemes, including renewables.
"As we move forward to replace our coal-fired generating facilities our focus on renewable generation and reducing carbon emissions are key corporate priorities," said Gerry Anderson, chairman and CEO of DTE Energy. He added that the company is well on its way to achieving its goal of cutting its carbon dioxide (CO2) emissions by over 80% by 2050.
(USD 1.0 = EUR 0.882)