The Financial Burden of Data Centers on Residential Rate Payers

Electricity Law Initiative Director Ari Peskoe and EELP Fellow Eliza Martin discuss their new paper, Extracting Profits from the Public: How Utility Ratepayers are Paying for Big Tech Power. As Amazon, Google, Meta, and other technology companies try to secure electricity for their new data centers, electric utilities are expanding their systems to serve them. Because utility companies profit by building infrastructure, serving data centers is a lucrative opportunity that is incentivizing utilities to offer attractive rates to Big Tech companies. Ari and Eliza discuss how rate-setting processes can shift utility costs among ratepayers and explain how rate structures, as well as contracts between utilities and data centers, could be transferring Big Tech’s energy costs to the public. Transcript https://eelp.law.harvard.edu/wp-content/uploads/2025/03/CleanLaw_EP101-Transcript.pdf Read the paper https://eelp.law.harvard.edu/extracting-profits-from-the-public-how-utility-ratepayers-are-paying-for-big-techs-power/