$67B Dominion-NextEra merger draws pushback over rates, pollution and data centers

Local advocacy groups are actively opposing a proposed $67 billion merger between Dominion Energy South Carolina and Florida-based NextEra Energy, which has been submitted to the South Carolina Public Service Commission for approval. Groups such as the Southern Environmental Law Center and the Coastal Conservation League argue that while the utilities' shareholders stand to gain from data center growth, South Carolinian customers would face increased electricity rates and heightened environmental pollution.

Kate Mixson, Senior Attorney at the Southern Environmental Law Center, stated that the utilities' focus on data center expansion would lead to customers footing the bill for methane gas infrastructure and enduring health and environmental consequences. Taylor Allred, State Energy & Climate Program Director at the Coastal Conservation League, echoed these concerns, highlighting NextEra Energy's explicit aim to profit from AI data center growth in Virginia and South Carolina. Allred fears that overbuilding gas plants and pipelines for data centers would result in unaffordable electric bills and more pollution.

Dominion Energy, already a major power provider for data centers in Virginia and serving millions of customers across Virginia, North Carolina, and South Carolina, is planning to expand its gas-fired power plant fleet. Critics worry NextEra could exacerbate this trend, further burdening consumers already struggling with high electric bills. A decision on the merger, which would create a combined entity serving approximately 10 million customer accounts, is expected within the next six months.