Democrats see Georgia’s failure to curb data centers as an electoral gift

Georgia state lawmakers concluded their legislative session without passing measures to address the growing impact of data centers in the state, despite months of debate. This inaction has ignited significant opposition in local communities, turning the issue into a contentious point for the upcoming election season. Activists like Judy Mullis from Newnan expressed disappointment, stating that lawmakers "failed us" by prioritizing "big money" over community concerns. Georgia has become a prime location for data center development, driven by utility companies eager to sell electricity and substantial tax incentives, which are projected to cost state and local governments nearly $3 billion in the upcoming fiscal year. Democrats are seeking to leverage this public discontent, particularly following previous upset victories related to data center opposition and rising electricity rates in the Georgia Public Service Commission elections. The party aims to win the governor's office and gain a majority in the state House. While a national moratorium on data center construction was proposed by Sen. Bernie Sanders and Rep. Alexandria Ocasio-Cortez, Georgia lawmakers did not seriously consider a statewide moratorium. Instead, they debated stricter rules to protect ratepayers from covering data center-related infrastructure costs. Although the Public Service Commission passed some protective rules last year, critics, including Republican state Sen. Chuck Hufstetler and state Rep. Brad Thomas, argue the current language is insufficient and that residential customers could still face higher rates. Efforts to curtail data center tax breaks also failed, with Governor Brian Kemp having previously vetoed a bill on the matter and the House declining to consider Senate proposals. Lt. Gov. Burt Jones, accused of potential conflicts of interest due to family real estate holdings, also expressed disappointment but aligned with the view that ratepayers should not subsidize data centers. The Data Center Coalition opposed such legislation, arguing it would deter investment. Mark Woodall of the Sierra Club criticized lawmakers for choosing "big business" over the public.