Beshear flexes regulatory muscle in Paducah data center feud with Trump
Kentucky Governor Andy Beshear asserted state regulatory authority over a $100 billion federal hyperscale data center project in Paducah, emphasizing his administration's control over environmental permitting and building inspections. He criticized the Trump administration for not briefing him on the project, which is being developed by Brookfield Corp. and NextEra Energy. Beshear also mentioned a recent executive order to prevent data centers from increasing electricity rates for existing customers.
Kentucky Governor Andy Beshear expressed significant frustration regarding a proposed $100 billion hyperscale AI data center and an accompanying 2-gigawatt energy campus at the former Paducah Gaseous Diffusion Plant. The Governor, a Democrat, stated he remains uninformed about the Trump administration's plans for the federal project and stressed that Kentucky's state agencies, which he oversees, maintain the final say over environmental permitting and safety inspections necessary for the project to operate.
The project, which involves multinational alternative investment firm Brookfield Corp. and energy giant NextEra Energy Resources LLC, aims to repurpose portions of the Cold War-era uranium enrichment site. While local officials and Kentucky's GOP delegation have largely supported the initiative, Governor Beshear signed an executive order last week to regulate data center proposals statewide, insisting that his administration would block any development that could raise electricity rates for current residents. He emphasized that data centers must be self-sufficient regarding their energy consumption, and that communities should have control over siting decisions.