The Ohio battle is among the regulatory battles that highlight how the US power industry will manage the growing expansion of data centers
Microsoft, Alphabet, Meta, Amazon, and other tech firms have proposed alternative frameworks on how data centers can pay for power in Ohio.
The big tech companies are fighting against the proposal brought by utility AEP Ohio in May. The utility AEP Ohio proposal suggests that data centers and cryptocurrency miners provide pre-payments and financial assurances. The proposal will fulfill demands for massive energy.
Big Tech, Power Companies Oppose AEP’s Proposal
In August, Big Tech, power companies, including Constellation Energy, and others started opposing AEP’s proposal to the Public Utilities Commission.
To settle the case, some companies have started proposing terms such as expanding the scope of AEP’s rules. The terms include expanding the range of customers under AEP’s rules.
The terms include industry with over 50 megawatts of power at a particular location. It also includes the circumstances that rule the large new power customers are responsible for expenses related to transmission upgrades.
Ohio Leading US States for Data Centers
Ohio is among the leading US states that constitute several data centers. Big Tech is looking to increase its power supplies for the growth of generative AI.
This year AEP Ohio has temporarily halted the signing of new agreements for data centers due to an increase in power demand.
The Ohio battle is among the regulatory battles that highlight how the US power industry will manage the growing expansion of data centers. It also highlights the companies that will accommodate the consumer's demand.
AEP Power is an American Electric Power (Nasdaq: AEP) company, registered with the Public Utilities Commission of Ohio. It is backed by a team of engineers and lineworkers that support communities and improve local economies.