Data Center Signal is tracking 4 clips about Big Rivers Electric Corporation data center developments across 1 states, including KY.
Kentucky is seeing a surge of interest from data center developers for former industrial sites due to existing power and water infrastructure. However, these projects are encountering local opposition over land use, environmental concerns, and potential impacts on electricity rates, with state regulators currently reviewing special power contracts.
Kentucky is seeing a trend of data center developers repurposing former industrial sites, particularly those with existing high-capacity electrical infrastructure. Mayor George Bray champions the former Paducah Gaseous Diffusion Plant for a hyperscale data center, while TeraWulf is developing a site in Hancock County. Local communities and an environmental attorney raise concerns about environmental impact, water usage, increased electricity costs for ratepayers, and zoning changes.
Several Kentucky utilities, including Kentucky Power, LG&E, KU, Duke Energy, East Kentucky Power Cooperative, and Big Rivers Electric Corporation, have signed President Trump's Ratepayer Protection Pledge. Critics like the Sierra Club argue the pledge is insufficient without proper cost-allocation studies by the Kentucky Public Service Commission. Residents in Hancock County have already voiced concerns about rising electricity costs due to proposed data center projects.
The U.S. Department of Energy announced a $100 billion private investment to redevelop portions of the Paducah Gaseous Diffusion Plant in West Paducah, Kentucky, into a data center campus. This project is a partnership with Brookfield, NextEra Energy, and local electric cooperatives, aiming to create 8,000 temporary and 600 permanent jobs. The site will also feature new energy infrastructure, with excess electricity intended to benefit the regional grid.