Alabama regulators to decide how data center power deals protect customers
The Alabama Public Service Commission is preparing to decide procedures for reviewing Alabama Power electricity contracts with large data centers. The review framework is intended to ensure data centers cover the additional generation, transmission and distribution costs they create rather than shifting those costs to existing ratepayers.
The Alabama Public Service Commission is scheduled to consider procedures for reviewing electric-service contracts between Alabama Power and large data centers. The proposed system would apply to facilities expected to require at least 150 megawatts and would extend the formal review period from 10 days to 60 days while requiring detailed information about costs, customer benefits and economic-development impacts.
The proceeding also addresses transparency and whether contracts should be monitored after approval. Alabama Power has opposed expanding the case into broader data center policy, while the Southern Environmental Law Center and ratepayer Arie Lucille Kimble-Foster urged greater public access and stronger safeguards against shifting data center costs to other customers.