Georgia Senate skips vote on bill to block data center costs from hitting power bills

ATLANTA, Ga. (Atlanta News First) — The Georgia Senate adjourned Thursday without voting on a bill that would prevent electric utilities from passing data center infrastructure costs onto residential customers, a move critics said was designed to avoid a likely defeat for Republican leadership.

Senate Bill 34 would prohibit Georgia Power and other utilities from charging residential customers and small businesses for costs associated with powering large commercial data centers.

State Sen. Chuck Hufstetler, a Rome Republican who sponsored the bill, said the version that reached the Senate floor had been weakened in committee. He planned to introduce an amendment restoring protections for ratepayers, but never got the chance before the Senate adjourned.

“We don’t want customers being held hostage,” Hufstetler said. “If the AI bubble goes away, who pays for it?”

The adjournment came after hours of debate on other legislation, with SB 34 next on the agenda.

State Sen. Harold Jones, an Augusta Democrat and the Senate minority leader, said Republicans lacked votes to defeat an amendment that would have restored consumer protections.

“If they had the votes, they wouldn’t have to adjourn,” Jones said. “They would have loved to do it.”

Georgia Power customers have seen bills increase an average of $43 per month since 2023, according to regulator data. The increases stem from rate hikes tied to grid expansion.

Amy Sharma, executive director of Science for Georgia, said Georgians are feeling the financial pressure.

“My power bill has doubled,” Sharma said. “Normal hardworking Georgians — their power bills are through the roof right now already.”

Connie DiCicco, legislative director for Georgia Conservation Voters, said corporate lobbying stalled the bill despite packed committee hearings in which constituents demanded action.

“The holdup here is, frankly, it’s a lot of lobbying, and it’s a lot of corporate interests,” DiCicco said.

Georgia Power has said data center costs will not affect customer rates. But Hufstetler said without legal protections, “there’s a lot of wiggle room.”

The state Public Service Commission approved a rule in January requiring Georgia Power to assign data center costs directly to those facilities through contracts. Consumer advocates say the rule has loopholes and lacks the force of law.

Georgia Power projects 80% of its increased energy demand over the next decade will come from data centers supporting artificial intelligence operations.

It remains unclear when or if the bill will return for a vote.