President Trump has gone all-in to bring as many new data centers online as possible as he pushes for the United States to remain the leader in artificial intelligence development.
The push has led Democrats and some GOP critics to warn about massive increases in electricity costs to consumers because of the amount of power needed to run the centers, but those concerns appear to be way overblown.
Georgia electricity customers, for example, could see lower power bills in the coming years as the state experiences rapid growth in energy-intensive data centers, according to projections from Georgia Power.
The utility says revenue generated by new large-scale customers, including data centers, is expected to help reduce costs for residential customers rather than shift the expense of serving those facilities onto households.
Georgia Power estimates that the typical residential customer could save at least $180 annually beginning in 2029 as additional revenue from large-load customers flows into the electric system. The projection applies to a household using an average of 1,000 kilowatt-hours per month.
The company estimates that incremental revenue from large-load customers could generate approximately $950 million in annual savings across its customer base. Projected benefits total roughly $2.85 billion from 2029 through 2031.
The projections come amid a nationwide debate over the effect artificial intelligence and data centers could have on electricity prices.
Yesterday, West Virginia put out a report on how data centers are affecting the state. How?
They're making it rich.
Data centers are allowing the state to cut income taxes, fund schools, rebuild sewers and water treatment facilities, curb electrical costs, and generate jobs! pic.twitter.com/qW0rKxnJmA
— Crémieux (@cremieuxrecueil) September 8, 2026
Data centers consume enormous amounts of electricity to operate servers, cooling systems and other equipment required for artificial intelligence and cloud computing. Their rapid expansion has prompted concerns in several states that utilities will need to build additional power plants and transmission infrastructure, potentially leaving residential customers responsible for some of those costs.
Georgia regulators have attempted to address that concern by requiring the large customers driving new electricity demand to cover the costs associated with serving them.
Under rules established by the Georgia Public Service Commission, new customers requiring 100 megawatts or more must pay for infrastructure needed to serve their facilities. They are also subject to long-term contracts, minimum monthly payments, collateral requirements and substantial termination charges if they end their agreements early.
One of the most significant examples is OpenAI’s planned data center project in Effingham County.
The Georgia PSC recently approved Georgia Power’s contract to supply the facility, which is expected to require approximately 3,200 megawatts of electricity. Under the agreement, OpenAI will pay the full infrastructure costs associated with serving the project.
OpenAI also agreed to provide up to 1,000 megawatts of flexible demand response. That provision allows Georgia Power to reduce electricity supplied to the facility during periods of unusually high demand, potentially reducing the need for the utility to construct additional generating capacity.
Georgia Power has also pledged to keep base electricity rates frozen through at least the end of 2028. The PSC unanimously approved the three-year rate freeze in July 2025.
Separately, regulators approved changes this year that are expected to lower overall electricity costs. Georgia Power previously estimated that changes involving fuel and storm-recovery costs would produce additional savings for residential customers.
The company’s projections do not mean the debate over data centers and electricity prices in Georgia has ended.
Consumer and environmental groups have raised concerns about whether the enormous growth in electricity demand could eventually increase costs for households. Georgia regulators have also examined whether some of the state’s largest industrial customers are paying an appropriate share of fuel expenses.
Those concerns were on display during a recent PSC meeting in Savannah, where residents questioned commissioners about electricity prices and the planned OpenAI facility. Some called for greater transparency surrounding the agreement and expressed skepticism about whether ordinary customers would ultimately benefit from the expansion.
The PSC maintains that its rules are designed specifically to prevent data center costs from being passed along to residential customers and small businesses. The commission says the protections adopted in 2024 and 2025 require large-load customers to pay their own way while shielding existing customers from infrastructure costs associated with their projects.
Georgia’s experience is emerging as one example in the broader national debate over whether the AI-driven data center boom will increase household electricity bills or, under certain regulatory structures, spread fixed utility costs across a much larger customer base.
This article may contain commentary which reflects the author's opinion.
