Hassan requests probe into whether fed regulators did enough to limit electric rate hikes
Senator Maggie Hassan of New Hampshire has requested the Government Accounting Office (GAO) to investigate whether federal regulators, specifically the Federal Energy Regulatory Commission (FERC), have done enough to limit rising electricity rates for U.S. consumers. Hassan cited the rapid expansion of energy-demanding data centers and aging grid infrastructure as contributing factors to the higher costs. The probe aims to provide critical information to address increasing energy costs.
U.S. Senator Maggie Hassan (D-N.H.) has called for a Government Accounting Office (GAO) investigation into whether federal regulators, particularly the Federal Energy Regulatory Commission (FERC), have adequately addressed rising electricity rates for American consumers. Hassan, the ranking Democrat on the Joint Economic Committee, highlighted concerns about aging grid infrastructure and the rapid expansion of energy-intensive data centers contributing to the increase in monthly electricity costs.
Hassan's request to the GAO emphasizes that FERC has acknowledged the challenges posed by emergent, rapid growth in demand. She noted that while FERC has made efforts, a deeper review is needed to determine if sufficient action has been taken to promote just and reasonable rates, especially given the potential impact of heightened demand. Statistics cited in the article show average electric bills increased by about $110, or 6.4%, last year, with many households expected to pay more in 2025 than in 2024. New Hampshire families, for instance, saw a $205 increase in heating oil costs in March compared to the previous year.
The Senator also pointed to a 2025 Bloomberg analysis indicating that electricity costs surged by up to 267% over five years in areas with significant data center activity. Wall Street analysts predict that data center power demand could account for 40% of electricity growth by 2030. FERC oversees the wholesale sale of electricity, and Hassan mentioned that ISO New England confirmed market reforms sought by regional chief executives to address inflated electricity costs.
While FERC Chairman Mark Christie had previously stated in a 2024 report that rapidly increasing demand from data centers was "not sustainable and must be addressed," Hassan acknowledged some steps taken by FERC, such as supporting new energy resources and directing operational changes at large energy users like data centers to reduce grid strain. Officials at FERC did not provide an immediate comment on Hassan's letter.