The cost of data centers
A new Alabama law allows the Public Service Commission to approve power contracts for large data centers if they are expected to cover service costs and benefit other customers. The investigation says the contracts are heavily redacted and currently receive no public hearing or vote.
A new Alabama law taking effect Oct. 1 gives the Alabama Public Service Commission authority to approve electricity contracts for large data centers when regulators determine the contracts will cover the cost of serving the facilities and benefit other ratepayers. The measure is intended to prevent data centers from shifting their power costs onto Alabama customers.
WBRC reporter Jenn Horton examined a recently approved contract and found that the public versions contain extensive redactions. The investigation also noted that the contracts are not subject to a public hearing or vote, though that process could change as lawmakers and regulators consider greater transparency.