West Virginia lawmakers debate electricity transmission projects, data center law
West Virginia lawmakers are debating electric transmission line projects intended to meet growing demand, partly driven by data centers, with concerns about ratepayer subsidies. Separately, Democratic lawmakers are pushing to amend House Bill 2014, the state's data center district law, to restore local control over data center development. A proposed data center project in Tucker County, Ridgeline, faces vocal local opposition.
Legislative interim meetings in Charleston, West Virginia, saw lawmakers debating two key issues: the benefits of proposed electric transmission line projects and calls to amend the state's data center district law, House Bill 2014. Republican legislators questioned the necessity of the MidAtlantic Resiliency Link by NextEra Energy and the Valley Link Transmission project by Dominion Energy, FirstEnergy Transmission, and Transource, arguing that West Virginia ratepayers would subsidize power for data centers primarily located in Virginia, specifically citing rising demand from Virginia's data center industry. Utility representatives from FirstEnergy, including Abby Reale, countered that the projects are crucial for regional grid reliability across the PJM Interconnection.
Concurrently, House Democrats, led by Minority Leader Sean Hornbuckle, Deputy Minority Leader Evan Hansen, and Minority Leader Pro Tempore Kayla Young, advocated for changes to HB 2014. This law, passed in 2025, streamlines data center development, offers regulatory exemptions, and alters property tax assessment and distribution. Democrats contend that the law dangerously curtails local control, preventing county and city governments from regulating data center projects, and lacks transparency regarding environmental impacts like noise, emissions, and water usage.
They also criticized the new tax distribution formula, which diverts 50% of property tax collections from data centers to a state personal income tax reduction fund, significantly reducing direct revenue for counties. The debate is fueled by local concerns, particularly in Tucker County, where Fundamental Data is proposing the Ridgeline data center project, set to be powered by natural gas. This project faces "vocal opposition" from residents and has not yet been approved under HB 2014. House Speaker Roger Hanshaw is noted as representing Fundamental Data in an appeal regarding its air quality permit, adding another layer to the controversy.