Data Centers & The Power Grid
What Are Data Centers?
Data centers are large facilities filled with servers and cooling equipment. They store, process, and move digital data for things like streaming, AI, and cloud storage.
Impact on Light Bills
When utilities build new lines, substations, or power plants to serve data centers, those costs are usually spread across all customers. That means higher bills for households and small businesses, even if they never set foot in a data center or utilize its services.
Data centers are storage facilities that help keep the internet running at its current use, manage AI functions, and store information in "the cloud".
These centers use a large amount of electricity, and new projects are changing how South Carolina's power grid works and what it costs.
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Currently, there are no statewide regulations on data centers. That needs to change.
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NOTE: South Carolina Energy Justice Coalition's official position is neither for nor against data centers.
HOWEVER, we stress and insist that there must be statewide regulations, accountability, transparency, streamlined processes, and that these centers pay their fair share for resources they require and are using, while also avoiding overusing communities' natural resources.
Points to Consider
- Data centers are one of the biggest sources of new electricity demand.
- They require very large amounts of water to operate, even in centers that claim to run on a "closed loop"
- They often run 24/7 and need very reliable power.
- New data centers can require new power plants, lines, and substations.
Myths vs. Facts
Myth: Data centers don’t affect regular residents.
Fact: The cost of new infrastructure is shared by everyone on the system.
Myth: If rates stay low, big projects won’t change my bill.
Fact: Even with low rates, higher total demand and new construction can push monthly bills up.