Federal fight over data center costs could increase Ohio electric bills
Maryland leaders have filed a federal complaint against PJM Interconnection, the regional power grid operator, arguing that states like Ohio, Virginia, Pennsylvania, and Illinois should bear more of the data center energy costs. The Ohio Consumers Council warns this shift would increase Ohio consumer bills and advocates for new federal rules requiring data centers to pay their fair share.
Leaders in Maryland have filed a federal complaint against PJM Interconnection, the regional power grid operator shared with Ohio, 11 other states, and Washington D.C. The complaint alleges that Maryland residents are unfairly shouldering the costs associated with data center growth in the region. As a short-term solution, Maryland proposes shifting these costs to customers in states with higher concentrations of data centers, specifically Ohio, Virginia, Pennsylvania, and Illinois.
Maureen Willis, agency director for the Ohio Consumers Council (OCC), stated that if this proposal is approved, it would significantly increase energy bills for all Ohio consumers. The OCC advocates for the federal government to establish new rules requiring data centers to pay their equitable share of energy costs, arguing that current federal cost allocation rules have not kept pace with technology and the demands of the data center industry.
The federal agency responsible for regulating this issue will now gather feedback from affected states and agencies before making a decision, which is not anticipated anytime soon. The reporter Rochelle Ole concluded the coverage from Columbus, Ohio.