Residents urge Kentucky regulators to reject Hawesville data center power deal
Residents voiced strong opposition to a proposed data center in Hawesville, Kentucky, at a Kentucky Public Service Commission meeting. They urged regulators to reject or scrutinize a power agreement for the TeraWulf facility, citing concerns about higher electric rates, noise, and environmental impacts. The commission emphasized its limited authority to only assess the fairness of the power rates.
Residents of Lewisport and the surrounding area expressed vehement opposition during a Kentucky Public Service Commission (PSC) public comment meeting regarding a proposed data center in Hawesville, Kentucky. The session specifically addressed a retail electric service agreement that would allow TeraWulf, through its subsidiary Justified DataPower, to purchase 482 megawatts of power from Big Rivers Electric Corp. and Kenergy for a facility planned at the former Century Aluminum site.
Speakers urged the PSC to reject or thoroughly scrutinize the 15-year power deal, citing fears of increased electric rates for residents, significant noise pollution impacting local schools and special needs children, and environmental impacts. They also questioned the overall benefits to the local community.
PSC staff and commissioners clarified their limited jurisdiction, stating they could only evaluate if the proposed power agreement ensures fair, just, and reasonable rates and service. They noted they have no authority over aspects such as water use, noise, or the broader siting merits of the data center project itself. Justin McNeil, an assistant attorney general, confirmed that public input would be included in the official record for the commission's final decision.
The proposed agreement includes wholesale market pricing, take-or-pay requirements for the initial six years, and a mandatory curtailment provision to protect non-interruptible customers during power supply shortages. Despite these provisions, many residents remained skeptical that residential and small-business ratepayers would be shielded from cost increases. The commission has not yet set a date for a final decision on the agreement, with written comments still being accepted for Case No. 2026-00115.