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Amid data center boom, Delaware lawmakers want to protect residents from electricity rate hikes
['January']
WHYY
Delaware lawmakers have advanced legislation that aims to protect ratepayers as the increasing demand for data centers threatens a surge in electricity rates.
House Bill 233 would require utility companies like Delmarva Power to create a separate, higher electricity rate for large energy-use facilities, including data centers.
The bill is being debated amid growing concerns about mega-scale data centers, including a proposed 1.2-gigawatt facility in Delaware City that would span 6 million square feet.
Data centers use a significant amount of energy, and as AI requires more power at a faster rate than typical internet services, data centers often strain the power grid, leading to increased electricity rates for consumers.
PJM Interconnection, which manages the region’s electrical grid, has pointed to the increase in data centers as a reason for strains on the grid.