The artificial intelligence (AI) boom is beginning to hit consumers’ wallets across the Washington region, with a new electricity auction expected to add $6.3 billion in future power costs. Officials in the District, Northern Virginia, and Maryland are struggling over where massive data centers should be built and who should pay for the infrastructure needed to keep them running.
Energy Plans, Questions in Virginia
In Virginia, Gov. Abigail Spanberger’s administration has taken a strong position, arguing that the companies driving the surge in electricity demand should bear more of the cost rather than shifting expenses onto households and small businesses. The administration has filed comments with the State Corporation Commission, urging regulators to require large-load customers, including data centers, to pay for transmission projects built specifically to serve them.
The filing argues that appropriate safeguards are necessary to prevent residential customers from subsidizing infrastructure built for large commercial users. It notes that recent adjustments shifted roughly $58 million in transmission costs away from households and onto large-load customers while reducing the projected monthly surcharge for a typical residential customer.
The Data Center Battle in Prince George’s County
Prince George’s County recently approved a two-year moratorium on new hyperscale data center development, giving lawmakers time to determine where the facilities should be permitted and what regulations should govern them. Council Chair Krystal Oriadha has said she would prefer a permanent ban, while Councilmember Wala Blegay has questioned whether county officials have enough information about how large facilities could affect water resources and surrounding communities before approving additional projects.
Original reporting: The Washington Informer — read the source article.