Georgia Regulators Approve 50% Power Capacity Boost
However, the move is seen as a risky bet by the utility to chase data center customers, with existing ratepayers left holding the bag if demand doesn’t materialize.
Meanwhile, the approval came less than two months after voters rebuked GOP leadership, ousting two incumbent Republicans on the commission in favor of Democrats by overwhelming margins.
Georgia Power’s Plan to Meet Projected Demand
Georgia Power plans to increase power capacity by 50% to meet projected demand from data centers, with the construction cost estimated at $16.3 billion.
Therefore, the company has agreed to use revenue from new customers to place “downward pressure” on rates through 2031, which would amount to at least $8.50 a month for a typical residential customer.
Opposition to the Plan
However, opponents say the five elected Republicans on the commission are greenlighting a risky bet by the utility, with existing ratepayers left holding the bag if demand doesn’t materialize.
Moreover, opponents fear Georgia Power’s pledge of rate relief can’t be enforced, or won’t hold up over the 40-plus years needed to pay off new natural-gas fired power plants.
Impact on Existing Customers
Consequently, existing customers would pay for part of the construction program that doesn’t serve data centers, with opponents warning that carbon emissions will worsen climate change.
In addition, many opponents oppose any new generation fueled by natural gas, warning that it will worsen climate change and leave existing customers with higher bills.
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