
KY can lead on data centers without leaving communities behind
Kentucky Senate President Robert Stivers outlines the state's strategy for attracting data centers while addressing common community concerns. He emphasizes a "full-cost allocation approach" where developers cover infrastructure costs, modern closed-loop cooling systems for water, and quiet operations for AI data centers. Stivers asserts that responsible development can bring significant economic benefits to communities without burdening existing ratepayers.
Kentucky Senate President Robert Stivers has issued a statement regarding the state's strategy for attracting data center investments, aiming to address public concerns while fostering economic growth. Stivers highlighted that Kentucky's approach differs from negative national narratives, particularly concerning increased electric bills, water consumption, and noise pollution often associated with such facilities.
He emphasized that Kentucky supports a "full-cost allocation approach," ensuring that data center developers bear the expenses for new transmission lines, substations, or additional generating capacity required by their facilities, rather than burdening existing ratepayers. Stivers also noted that modern data centers increasingly use closed-loop cooling systems for water efficiency and operate quietly, differentiating them from cryptocurrency mining operations.
The Senate President underscored the significant economic benefits, including hundreds of construction jobs, over 100 permanent high-paying jobs, and substantial increases in local property tax revenues, which can fund schools, fire departments, and other local government services. He cited a recent report from the Energy Planning and Inventory Commission, which concluded that Kentucky is well-positioned for these investments. Stivers, who represents the 25th Senate District including Clay, Jackson, Knox, McCreary, Owsley, and Whitley Counties and has served as Senate President for over a decade, affirmed that good policy allows for both community protection and job creation.