Waco residents could feel the pinch as data centers push electricity prices higher
Waco, Texas residents are experiencing higher electricity bills. New research from the Federal Reserve Bank of Dallas suggests that data center growth has already increased wholesale electricity prices by 2 to 6% nationwide, with continued pressure expected through 2028. This trend could further impact household costs as more AI data centers come online.
Waco, TX residents, including Lizzie Kim and Kelly Shaw, have observed significant increases in their electricity bills, with some reporting jumps of $50-60 per month. These rising costs are impacting household budgets, forcing residents to reallocate funds from other necessities like food and activities.
New research from the Federal Reserve Bank of Dallas indicates that data center expansion has already contributed to an estimated 2 to 6% increase in average wholesale electricity prices across the nation. Experts predict that the growing demand from data centers, particularly AI-focused facilities, will continue to exert upward pressure on electricity costs through 2028.
While the research does not suggest an immediate, uncontrolled surge in household bills, the ongoing impact is expected. Utility provider Oncor, when contacted, stated that weather remains the primary factor influencing changes in electric bills. However, the broader trend points to data center growth as a significant, underlying driver of electricity price inflation.