Will Maryland's Utility Bills Increase $1.6B to Support Other States' Datacenters?
Source: Slashdot
Overview
PJM Interconnection, which operates the regional transmission organization for 13 states, plans to spend $22 billion to upgrade its grid for data‑center demand. Maryland’s Office of the People’s Counsel argues that nearly $2 billion of that cost will be recovered from Maryland ratepayers, driving up Maryland customers’ bills by $1.6 billion over the next ten years. The office announced an official complaint with the U.S. Federal Energy Regulatory Commission (FERC).
Cost Allocation
- Residential customers: $823 million total → roughly $345 per customer
- Commercial customers: $146 million total → roughly $673 per customer
- Industrial customers: $629 million total → roughly $15,074 per customer
Maryland customers “are subsidizing data‑center‑driven transmission build‑out by virtue of geographic proximity,” according to Maryland People’s Counsel attorney David S. Lapp.
Regional Demand
Extra demand is expected from Ohio, Pennsylvania, and Illinois, where data‑center growth is projected to rise substantially by 2036. Maryland, however, “has neither caused the need for these billions in new transmission projects nor will it meaningfully benefit from them,” as noted in the complaint.
Community Impact
- Around 69 jurisdictions have enacted moratoria on new data‑center projects.
- A recent survey found that nearly half of Americans do not want a data center in their neighborhood.
- Debates over these projects can become heated; a few incidents have turned violent, including shootings (fortunately without casualties).
These concerns reflect broader pushback against AI hyperscalers and other large‑scale data‑center developers, who are often perceived as threatening local lifestyles and quality of life.
Thanks to long‑time Slashdot reader noshellswill for sharing the news.
Source: Tom’s Hardware; Slashdot.