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As Electric Bills Rise, Do Data Centers Share Blame
Amid rising electric bills, states are under pressure to insulate regular household and business ratepayers from the costs of feeding Big Tech's energy-hungry data centers.
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LampLighter
Joined 2013/04/13Visited 2025/08/11
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More from the article...
... It's not clear that any state has a solution and the actual effect of data centers on electricity bills is difficult to pin down. Some critics question whether states have the spine to take a hard line against tech behemoths like Microsoft, Google, Amazon and Meta. But more than a dozen states have begun taking steps as data centers drive a rapid build-out of power plants and transmission lines. ... More people are speaking out at the public utility commission in the past year than I've ever seen before," said Charlotte Shuff of the Oregon Citizens' Utility Board, a consumer advocacy group. "There's a massive outcry." Not the typical electric customer Some data centers could require more electricity than cities the size of Pittsburgh, Cleveland or New Orleans, and make huge factories look tiny by comparison. That's pushing policymakers to rethink a system that, historically, has spread transmission costs among classes of consumers that are proportional to electricity use. "A lot of this infrastructure, billions of dollars of it, is being built just for a few customers and a few facilities and these happen to be the wealthiest companies in the world," said Ari Peskoe, who directs the Electricity Law Initiative at Harvard University. "I think some of the fundamental assumptions behind all this just kind of breaks down." ...
But more than a dozen states have begun taking steps as data centers drive a rapid build-out of power plants and transmission lines. ...
More people are speaking out at the public utility commission in the past year than I've ever seen before," said Charlotte Shuff of the Oregon Citizens' Utility Board, a consumer advocacy group. "There's a massive outcry."
Not the typical electric customer
Some data centers could require more electricity than cities the size of Pittsburgh, Cleveland or New Orleans, and make huge factories look tiny by comparison. That's pushing policymakers to rethink a system that, historically, has spread transmission costs among classes of consumers that are proportional to electricity use.
"A lot of this infrastructure, billions of dollars of it, is being built just for a few customers and a few facilities and these happen to be the wealthiest companies in the world," said Ari Peskoe, who directs the Electricity Law Initiative at Harvard University. "I think some of the fundamental assumptions behind all this just kind of breaks down." ...
#1 | Posted by LampLighter at 2025-08-09 03:21 PM | Reply
If they're selling more electricity than ever, shouldn't it be cheaper than ever? I've always been told that's how Capitalism works.
#2 | Posted by TFDNihilist at 2025-08-10 09:30 AM | Reply
I'm sure everything has been shifted to the personal home users bills as much as possible. Protecting corporations is paramount.
#3 | Posted by fresno500 at 2025-08-10 12:00 PM | Reply | Newsworthy 1
I know Duke uses a tiered billing system. Residential and commercial rates are different and there are, I think, 3 steps where, as you use more power the rate per kWh changes. So in theory a data center would be paying more per kWh then a homeowner, but not sure if that difference is enough to cover the cost of the rapid expansion.
Either way the rates they are allowed to charge are set by the state but the state frequently approves increases for pretty pathetic reasons. Recently they got to increase it due to the coal ash cleanup lawsuit. We're sorry we poisoned you. We'll clean it up, and by the way here is the bill for cleanup. So I'm sure if the utilities argue that this rapid expansion to support business in the state requires a bump to the residential customer they will be approved for it.
#4 | Posted by TaoWarrior at 2025-08-10 01:05 PM | Reply | Newsworthy 1
At least they had a "reason."
Here, they just constantly claim hikes are needed to pay for needed upgrades ... but the upgrades never seem to happen.
#5 | Posted by jpw at 2025-08-10 01:25 PM | Reply
pay for needed upgrades
See your mistake is thinking that's needed upgrades to the grid. It's actually needed upgrades to their stock price.
#6 | Posted by TaoWarrior at 2025-08-10 02:28 PM | Reply | Newsworthy 2
Do none of you live in States where electricity is deregulated? That must really suck to not have choice.
#7 | Posted by Bluewaffles at 2025-08-11 12:08 AM | Reply | Funny: 1
I also don't live in a state where the electric grid constantly fails.
Must suck to have no choice.
#8 | Posted by ClownShack at 2025-08-11 12:16 AM | Reply | Newsworthy 1
I'm sure they're subsidized by taxpayers.
#9 | Posted by zarnon at 2025-08-11 12:30 AM | Reply
Clown, the California grid has a storied history of brownouts and black outs. You probably should sit this one out.
#10 | Posted by Bluewaffles at 2025-08-11 12:36 AM | Reply | Funny: 1
Waffles. I live here and have never experienced anything like you idiots in Texas have.
You vote for republicans because you like being a *itch to the elite rich who control them and through them your state.
Keep licking Trump's taint.
#11 | Posted by ClownShack at 2025-08-11 12:43 AM | Reply | Newsworthy 5
At least they had a "reason." Here, they just constantly claim hikes are needed to pay for needed upgrades
The upgrades are to the dividends to the shareholders and c-suite compensation.
#12 | Posted by Nixon at 2025-08-11 07:29 AM | Reply
I live within a fairly diversified electric co-op. My rates have have held steady for a few years.
#13 | Posted by Whatsleft at 2025-08-11 08:01 AM | Reply | Newsworthy 1
Here in America, we don't have the right to know who is using electricity:
A massive Wyoming data center will soon use 5x more power than the state's human occupants - but no one knows who is using it www.techradar.com New Wyoming facility could consume twice as much electricity as the entire state currently produces annually Data center developers will build custom natural gas and renewable plants to feed massive energy needs Crusoe refused to confirm any involvement of OpenAI despite growing speculation and prior partnerships
#14 | Posted by snoofy at 2025-08-11 09:00 AM | Reply | Newsworthy 1
Clown ... A few years back I had a layover at LAX coming back from an international flight. Their was literally a blackout while I waited for my flight ... California PGE FTW!!
#15 | Posted by Bluewaffles at 2025-08-11 09:26 AM | Reply | Funny: 3
That must really suck to not have choice.
#7 | POSTED BY BLUEWAFFLES
I had a choice. And still do. And one of the choices I made was to install solar.
I live where electricity is abundant and very stable.
But if the price of electricity goes up my bill still stays the same. Why?
Because I produce more electricity than I use and I am paid back what they are charging. It's called Net-Zero. And then the state sends me a check for any excess.
Enjoy your unregulated state where they can charge you more if there is sudden increase in costs.
I heard some Texans on "variable-rate electricity plans" faced ridiculously by high bills during power outages, particularly during the February 2021 winter storm.
#16 | Posted by donnerboy at 2025-08-11 11:55 AM | Reply | Newsworthy 1
Re 15
Oh noes! The power went out briefly in LA once years ago!
But I bet no one died because of it.
The Texas 2021 ice storm resulted in at least 246 deaths, with some estimates suggesting the number could be significantly higher. While the official count is 246, reports indicate that the true toll, including indirect deaths related to power outages, could be closer to 700 or even higher
Enjoy your "unregulated" power grid bro.
#17 | Posted by donnerboy at 2025-08-11 12:45 PM | Reply | Newsworthy 1
Also FYI
PG&E does not provide electric power to LA.
#18 | Posted by donnerboy at 2025-08-11 12:48 PM | Reply
en.wikipedia.org
One California electricity crisis has it's own wiki page.
#19 | Posted by eberly at 2025-08-11 12:49 PM | Reply | Funny: 1
#19 | POSTED BY EBERLY
Yup. We had a crisis during the "dot-com" bubble recession. And we solved it.
caused by market manipulations (by companies like ENRON) and capped retail electricity prices
#20 | Posted by donnerboy at 2025-08-11 01:01 PM | Reply | Newsworthy 1
And I bet California has a lot of wiki pages..
#21 | Posted by donnerboy at 2025-08-11 01:02 PM | Reply
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