Summary
DTE Energy Company filed an 8-K on February 6, 2017, to disclose information regarding the Federal Energy Regulatory Commission (FERC) not issuing a Certificate of Public Convenience and Necessity for the NEXUS Gas Transmission project before losing its quorum on February 3, 2017. Despite this setback, DTE Energy remains confident that the project will receive its certificate once FERC regains a quorum. The company also reaffirmed its 2017 operating earnings guidance of $5.15-$5.46 per share and its long-term earnings per share growth target of 5%-7%.
Key Highlights
- 1FERC did not issue a Certificate of Public Convenience and Necessity for the NEXUS Gas Transmission project before losing its quorum.
- 2DTE Energy is confident that FERC will issue the NEXUS certificate once it has a quorum.
- 3The company reaffirmed its 2017 operating earnings guidance of $5.15-$5.46 per share.
- 4DTE Energy reiterated its long-term earnings per share growth target of 5%-7%.
- 5The NEXUS project is a joint venture between DTE Energy and Spectra Energy.
- 6DTE Energy and Spectra Energy remain committed to a 4th quarter 2017 in-service date for the NEXUS project.
- 7The company noted that reconciliations to reported earnings guidance for 2017 are not provided due to the unpredictable nature of certain excluded items.
Frequently Asked Questions
As of February 3, 2017, the Federal Energy Regulatory Commission (FERC) had not yet issued a Certificate of Public Convenience and Necessity for the NEXUS project because the commission lost its quorum. DTE Energy expects the certificate to be issued once FERC regains a quorum and remains committed to a 4th quarter 2017 in-service date.
DTE Energy has reaffirmed its 2017 operating earnings guidance of $5.15-$5.46 per share and its long-term earnings per share growth target of 5%-7%. The company expressed confidence in achieving these targets despite the temporary delay in the NEXUS project's certification.
NEXUS is a joint venture between DTE Energy and Spectra Energy. The project aims to deliver low-cost, clean-burning natural gas to Michigan and Ohio, create jobs, stimulate economic development, and contribute to a lower carbon future in the Midwest region.
The company stated that reconciliations to comparable 2017 reported earnings guidance are not being provided. This is because it is not possible to reliably forecast specific line items that may be excluded from operating results, as these items can fluctuate significantly and impact reported earnings.