Data centers spur on power grid expansion in Southeast Georgia
Effingham County, Georgia is experiencing a significant power grid expansion driven by OpenAI's massive Project Camellia data center, which will demand 3,200 megawatts. This expansion includes natural gas plants and new transmission lines, prompting environmental concerns from local residents and advocacy groups. The Georgia Public Service Commission has approved generating capacity expansion, while the Environmental Protection Division is reviewing an air permit for a plant expansion following a public hearing.
Effingham County, Georgia, is experiencing a rapid expansion of its power grid to support the growing data center industry, most notably OpenAI's Project Camellia, projected to be one of the largest data center projects in the U.S. at 3,200 megawatts. This demand is leading to significant infrastructure development, including an expansion of the McIntosh Combined Cycle Facility, a natural gas plant, and new 500 kV transmission lines.
The Georgia Public Service Commission (PSC) approved a nearly 10-gigawatt expansion of generating capacity in December 2025, with about 80% earmarked for data centers. The PSC also approved rules requiring large-load customers like OpenAI to cover full infrastructure and electric service costs and sign long-term energy contracts. However, environmental groups, including the Southern Environmental Law Center, and Effingham County residents like Sharee McKenzie, expressed concerns about potential air pollution, water withdrawals, and the cumulative environmental impact at a public hearing hosted by the Environmental Protection Division (EPD) in August.
Joshua Peacock, Georgia Power's communications lead, stated that permitting additional units at Plant McIntosh provides "optionality for future generation." Critics, such as Jennifer Whitfield from the Southern Environmental Law Center, question the rapid expansion with fossil fuels, suggesting cleaner alternatives are possible if prioritized. Residents also voice worries about grid reliability during severe weather events, despite OpenAI's agreement to provide up to 1,000 megawatts of "flexible demand response" during peak periods. Experts like Ahmed Saheed from Georgia Tech raise concerns about the pace of development and whether current regulations adequately protect ratepayers and communities, given the uncertain long-term viability of some tech companies.