By Chris O’Malley

DTE Energy’s fourth-quarter earnings soared 141%, largely on growth in its non-utility operations.

The Detroit-based company serving 3.3 million gas and electric customers posted a profit of $299 million, or $1.68 a share, compared with $124 million, or 70 cents a share, for the fourth quarter last year.

DTE Electric’s operating earnings in the fourth quarter rose 27%, to $128 million. DTE Gas operating earnings fell 40%, to $31 million.

But operating earnings of DTE Energy’s non-utility units — gas storage and pipelines, power and industrial projects and energy trading — increased 70%, to $66 million.

For the full year, DTE Energy’s net income rose 37%, to $905 million or $5.10 a share.

Full-year operating revenues were $12.3 billion, up 27% from 2013.

Upward Expectations

DTE Energy increased its 2015 operating earnings per share guidance to $4.48 to $4.72, from the $4.43 to $4.67 outlook provided in November. Most of that increase is predicated on higher-than-expected prospects in the non-utility segments of gas storage and pipelines, and power and industrial projects.

During a conference call with analysts on Feb. 13, DTE Energy Chief Executive Officer Gerard Anderson said the company was embarking on a “capital investment era.”

DTE said its investments in non-utility units could amount to $1.5 billion to $1.9 billion in 2015-2019.

That includes DTE’s participation in the Nexus Gas Transmission pipeline that will run from Michigan through northern Ohio and then south to the border of the West Virginia panhandle.

The 250-mile Nexus will tap into shale gas production in the tri-state region. DTE, which is partnering on the pipeline with Spectra Energy, said it has made a pre-filing submission with the Federal Energy Regulatory Commission and has engaged an engineering firm.

Anderson said gas and pipeline operating earnings, which totaled $82 million in 2014, could grow to $145 million by 2019.

The company also has been investing in generation, including plans to acquire the 732-MW Renaissance power plant in Carson City, Mich., for $240 million.

Anderson said that MISO planning has shown a 900-MW summer capacity shortfall in Michigan. He noted that Gov. Rick Snyder recently called for Michigan to develop a comprehensive energy policy this year.

In December, DTE filed its first electric rate case in four years. If approved as proposed, the average residential customer would pay $3.25 more a month, or about a 1.5% increase annually.