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Leases
 9 Months Ended
Sep. 30, 2024
Leases [Abstract]  
Leases LEASES
Lessor
During the first quarter 2024, DTE Energy completed construction of and began operating certain energy infrastructure assets under a long-term agreement with a large industrial customer. DTE Energy began leasing these assets to the customer for a 20-year term ending in 2044. DTE Energy has accounted for this arrangement as a finance lease, recognizing a net investment of $157 million as of September 30, 2024. Under the long-term agreement, additional energy infrastructure assets remain under construction and are expected to be completed through the remainder of 2024. The assets will be subsequently leased to the customer and increase the net investment in finance leases accordingly.
The components of DTE Energy’s net investment in finance leases for remaining periods were as follows:
DTE Energy
September 30, 2024
(In millions)
2024$13 
202552 
202651 
202751 
202850 
2029 and thereafter644 
Total minimum future lease receipts861 
Residual value of leased pipeline17 
Less unearned income439 
Net investment in finance lease439 
Less current portion12 
$427 
Interest income recognized under finance leases was $10 million and $6 million for the three months ended September 30, 2024 and 2023, respectively, and $27 million and $20 million for the nine months ended September 30, 2024 and 2023, respectively.
DTE Energy’s lease income associated with operating leases, included in Operating Revenues — Non-utility operations in the Consolidated Statements of Operations, was as follows:
Three Months Ended September 30,Nine Months Ended September 30,
2024202320242023
(In millions)
Fixed payments$4 $4 $11 $11 
Variable payments15 15 34 33 
$19 $19 $45 $44 
Leases LEASES
Lessor
During the first quarter 2024, DTE Energy completed construction of and began operating certain energy infrastructure assets under a long-term agreement with a large industrial customer. DTE Energy began leasing these assets to the customer for a 20-year term ending in 2044. DTE Energy has accounted for this arrangement as a finance lease, recognizing a net investment of $157 million as of September 30, 2024. Under the long-term agreement, additional energy infrastructure assets remain under construction and are expected to be completed through the remainder of 2024. The assets will be subsequently leased to the customer and increase the net investment in finance leases accordingly.
The components of DTE Energy’s net investment in finance leases for remaining periods were as follows:
DTE Energy
September 30, 2024
(In millions)
2024$13 
202552 
202651 
202751 
202850 
2029 and thereafter644 
Total minimum future lease receipts861 
Residual value of leased pipeline17 
Less unearned income439 
Net investment in finance lease439 
Less current portion12 
$427 
Interest income recognized under finance leases was $10 million and $6 million for the three months ended September 30, 2024 and 2023, respectively, and $27 million and $20 million for the nine months ended September 30, 2024 and 2023, respectively.
DTE Energy’s lease income associated with operating leases, included in Operating Revenues — Non-utility operations in the Consolidated Statements of Operations, was as follows:
Three Months Ended September 30,Nine Months Ended September 30,
2024202320242023
(In millions)
Fixed payments$4 $4 $11 $11 
Variable payments15 15 34 33 
$19 $19 $45 $44