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Georgia Power Gets Green Light To Dramatically Grow Grid To Draw Data Centers

Georgia Power Gets Green Light To Dramatically Grow Grid To Draw Data Centers

By by Tyler DurdenZeroHedge News

Authored by John Haughey via The Epoch Times (emphasis ours), The Vogtle Unit 3, being constructed by primary contractor Westinghouse, a business unit of Toshiba, near Waynesboro, Ga., in this photo taken in March 2017. Georgia Power/Handout via Reuters Microsoft, Meta, QTS, and Trammell Crow are among hyperscalers operating large-load data centers in Georgia. Rick Rycroft/AP Photo The Georgia Public Service Commission will allow the state’s largest electric utility to proceed with its $15 billion plan to build nearly 10,000 megawatts of new generation -two-thirds of its present capacity-within a decade to accommodate “large load” demand from data centers. The Vogtle Unit 3, being constructed by primary contractor Westinghouse, a business unit of Toshiba, near Waynesboro, Ga., in this photo taken in March 2017. Georgia Power/Handout via Reuters The five-member commission on Dec. 19 unanimously approved a “stipulated agreement” with Georgia Power Company that requires data center developers to pay capital improvement costs related to grid expansion, and that households and small businesses won’t be left with the bill should projected growth not materialize as anticipated. The decision follows months of contentious debate before the commission, which re-surfaced before the final vote during three hours of laborious discussion on motions filed by advocacy groups questioning the certainty of those assurances, followed by animated public comment dominated by opponents. Many were ushered out of the commission’s Atlanta chambers, chanting, “Nay, nay, nay! The people say, ‘Nay!’” so the vote could be conducted. Among opponents’ claims was that the commission, which has until March 2026 to issue its final decision, was proceeding with the vote before two Democrats who defeated incumbent Republicans in a November election could be seated in January. Many expressed anger over rising electricity costs for Georgia Power’s 2.8 million customers across 155 of the state’s 159 counties. The commission has approved six Georgia Power rate increases since 2023, costing the average household at least $43 a month, or an additional $500 a year , according to the Southern Environmental Law Center, while, at the same time, its profits have increased 40 percent. In July, the commission imposed a moratorium on Georgia Power rate hikes through 2028, but, as many noted, that freeze only applies to base use charges while exempting “reasonable and prudent” costs it incurred-approximately $860 million-in damage from 2024’s Hurricane Helene that can be “recovered” from customers. Opponents argued that consumers will eventually be left paying for “stranded assets” in a massive build-out to serve data centers that become obsolete or out of business. Georgia Power now generates between 14,000 and 15,000 megawatts of electricity, and in 2022, projected it would need 200 to 300 megawatts of grid growth over the next decade. The 10,000 megawatt expansion-enough electricity to power nine million homes-includes at least 8,500 megawatts between 2029 and 2031. It is the largest projected percentage increase in electricity demand over the next five years in any state nationwide except Texas, according to a November Grid Strategies’ analysis . The company said in testimony filed...

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