Written by Ben Boarman
Data centers are coming to Kentucky and the states around us. The question isn’t whether to take the investment. It’s who pays for the power.
Congressman Guthrie is answering that question the right way. The Ratepayer Protection Act came out of his Energy and Commerce Committee with unanimous support this summer, and this week it passed the full House with broad bipartisan backing. It requires every state to take up standards that make data centers cover the full cost of the new power and grid upgrades they need, instead of spreading those costs across local ratepayers.
The Data Center Revolt Bus Tour came through Kentucky this week, making the opposite case: these projects drive up demand, so they drive up rates. The concern is fair on its face. It’s also incomplete. It ignores the tax base these projects bring to rural counties that haven’t seen investment like this in a generation, and it ignores what happens when the rules are written correctly.
Georgia is the example. Its utility regulators require data centers to pay upfront for infrastructure and sign long-term contracts with minimum bills and exit penalties. Georgia Power now projects the added revenue will save the typical household about $180 a year. That’s savings, not a surcharge.
Developers and utilities know this is the deal. Nearly 300 companies, utilities, and co-ops, along with 23 states, have signed the White House Ratepayer Protection Pledge. A pledge is only as good as the enforcement behind it, which is why the legislation matters.
I run businesses and make my home in western Kentucky. I want this investment here, and I want my neighbors’ power bills left alone. Both are possible if the people building these facilities pay their own way. Congressman Guthrie is fighting to make sure they do. That’s how you develop responsibly.
Written by
Ben Boarman
