State utility regulators voted on Tuesday to allow Georgia Power to significantly increase its capacity by adding new fossil-fueled power assets and battery storage. These additions are primarily aimed at meeting the growing demand from energy-intensive data centers and industrial customers flocking to Georgia. The decision by the Georgia Public Service Commission (PSC) has sparked debate among stakeholders, with Georgia Power touting the move as a means to keep electricity costs down, while critics warn of potential risks for consumers and the environment.
Georgia Power’s proposal, which was approved by four out of the five PSC members, will see the company adding new units at Plant Yates in Coweta County, developing 1,000 megawatts of battery storage, and continuing to purchase electricity from out-of-state gas plants. The plan also includes a commitment to reduce the average residential customer’s monthly bill by $2.89, starting in 2026. However, this reduction is contingent on future rate adjustments and is not guaranteed to materialize.
Commission Chairman Jason Shaw defended the decision, stating that it strikes a balance between meeting demand and protecting customers from exorbitant rate increases. Georgia Power’s chief financial officer, Aaron Abramovitz, echoed this sentiment, emphasizing the plan’s role in maintaining reliable and quality electric service for customers in the state.
Criticism of the decision has been vocal, with consumer advocacy groups and environmentalists expressing concerns about the reliance on fossil fuels and the potential impact on rates. Some activists argue that the plan lacks thorough evaluation of alternative, more cost-effective options and could expose ratepayers to higher electricity bills in the future.
The approval of Georgia Power’s expansion comes amid a surging demand for energy in the state, driven in large part by the proliferation of data centers. Tech giant Microsoft recently announced plans to build a new data center complex on 136 acres in south Fulton County, further fueling the need for increased power generation capacity.
Environmentalists have raised alarms about the climate implications of Georgia Power’s reliance on fossil fuels, particularly amid a continued rise in global temperatures. The construction of gas-fired units at Plant Yates has drawn criticism due to concerns about methane emissions and the volatility of oil and gas prices, which could impact electricity costs for consumers.
Commissioner Fitz Johnson, who abstained from voting, cautioned Georgia Power against seeking further rate hikes in the future, underscoring the burden that repeated increases place on ratepayers. Advocacy groups like Georgia Interfaith Power and Light have called on the PSC to prioritize consumer protection and explore cleaner, more sustainable energy alternatives.
The outcome of this decision reflects the complex balancing act between meeting growing energy demands, ensuring affordability for customers, and addressing environmental concerns. As Georgia Power moves forward with its plans to expand its power generation portfolio, all eyes will be on the company’s ability to deliver on its promises while navigating the challenges and uncertainties of an evolving energy landscape.
It seems that there is news about Georgia Power receiving approval to add fossil fuels and batteries to meet data center demand in Georgia. This could potentially affect data centers in the Atlanta area.