Feb 13 (Reuters) - DTE Energy ( DTE ) raised its

five-year capital expenditure plan by $5 billion on Thursday,

after posting a fall in fourth-quarter profit as the utility

took a hit from lower pricing for electricity.

With electricity consumption expected to rise to record

highs this year and the next, U.S. utilities have been raising

their capex plans to upgrade electric lines and power grid to

cater to power-hungry sectors.

DTE said it would spend $30 billion as part of its five-year

investment plan to improve grid reliability and transition to

clean energy. The plan also has the potential for incremental

investments to support data center opportunities, DTE added.

"We continue to work with a number of hyperscalers and

co-locators on opportunities within our service territory," said

DTE President and COO Joi Harris.

The utility has signed non-binding agreements with several

parties which could bring roughly 2,100 megawatts of potential

new load onto its grid system over the next several years.

Shares of the company were up 2% at $126.68.

However, its net income fell to $292 million in the fourth

quarter from $419 million a year earlier, hurt by a 20% decline

in operating earnings from its electric segment.

Regulated utilities use rate-case proceedings to determine

the amount customers need to pay for electricity and natural

gas. DTE had filed one such rate case to help reduce the cost of

producing electricity.

The utility saved about $300 million in fuel and

transportation costs after the rate case came into effect in

November, but it also reduced the electricity rates for

residential customers by roughly $5 a month.

DTE expects 2025 operating earnings to be in the range of

$7.09 to $7.23 per share, the midpoint of which is below

analysts' estimate of $7.20 according to data compiled by LSEG.