PSC chair: Georgia faces unprecedented load growth; Georgia Power files 2025 IRP

Chairman Jason Shaw of the Georgia Public Service Commission told the Special Committee on Resource Management on Friday that the state is confronting ‘‘unprecedented load growth’’ driven in large part by large data-center and other big-load customers, and that Georgia Power filed its 2025 Integrated Resource Plan (IRP) on Friday.

The IRP process is the state’s long-range planning docket that looks roughly 20 years ahead; Shaw said Georgia’s IRP updates are statutorily required every three years. ‘‘I think it’s our secret sauce,’’ Shaw said of the IRP, adding that the filing this month will trigger multiple public and evidentiary hearings before the commission reaches a mid‑July decision.

The PSC chair said the initial IRP filing is large and complex: a 59‑page summary within a submission of more than 2,200 pages and thousands of pages of supporting discovery. He told the committee the PSC and its staff will prepare testimony and hold multiple hearings, and invited members of the special committee and staff to review the materials.

Why this matters: committee members said they are concerned about who bears the cost when utilities build generation, transmission and distribution to serve very large customers that may leave the state or close within a few years. Shaw described recent rule changes the PSC adopted to address those risks, allowing longer contract horizons, stronger credit and performance provisions, and termination protections for large customers.

Georgia Power representatives said the company must balance meeting fast growth with keeping rates affordable. Lee Evans, director of pricing and rates for Georgia Power, told lawmakers the company ‘‘plans for the next 20 years every year’’ and filed the IRP consistent with the Integrated Resource Plan Act. Evans said the company expects a complex docket with many interveners and extensive discovery.

Key figures and context discussed at the hearing: - The PSC filing includes about 2,280 pages so far, with roughly 800 pages addressing transmission planning; Shaw estimated the total record after hearings and transcripts could top 4,000 pages. - Georgia Power’s current generation mix (capacity basis) was described as roughly 41% natural gas, 18% coal, 14% nuclear and about 20% renewables (primarily solar, with hydro, biomass and wind also contributing). Shaw noted nuclear (Plant Vogtle units 3 and 4) is a long‑lived resource, while battery storage and solar are growing but currently have limits tied to storage duration. - The PSC added battery storage in recent planning: 765 megawatts in the 2022 IRP and another 1,000 megawatts in the 2023 IRP update; a recent storage facility (Mossy Branch in Shiloh) went online in October. - Fuel‑cost exposure was highlighted: Shaw said Georgia Power’s customers absorbed an approximate $1.6 billion under‑recovery in a 2022 fuel case tied to natural gas price spikes, which translated to roughly a $16 increase on the average customer bill at the time.

On data centers and large loads: Commissioners and presenters said the growth in very large loads (hundreds of megawatts for single customers) has accelerated, in part because of demand for artificial‑intelligence datacenters. Shaw and Georgia Power staff described two regulatory responses: (1) an IRP update and a generation case opened outside the normal three‑year cadence to add capacity quickly; and (2) revised PSC rules to allow longer contract terms (12–15 years), performance and credit provisions, minimum bills and stronger termination provisions so costs do not fall on residential and small‑business customers if a large customer departs.

On trade secrets and data access: Evans and Shaw said parts of IRP filings may be designated trade secret and redacted in public documents, but are available to PSC staff and intervening parties under nondisclosure agreements and standard procedural protections. ‘‘If it is considered trade secret, then it is just noted accordingly, and it’s handled more carefully,’’ Shaw said.

Committee Q&A and concerns: Representative Teddy Reese pressed presenters on storm response, coordination, and the age and condition of distribution and transmission infrastructure. Presenters from Georgia Power and the utilities associations described routine pole inspections, targeted grid‑modernization and reliability programs, and mutual‑aid arrangements that mobilize crews from across the Southeast (and nationally in major events). Georgia Power said it has been investing in circuits identified with below‑average reliability, and that large storms like Hurricane Idalia/Helene required substantial rebuilding.

Presenters noted the system’s fuel mix and the practical limits on near‑term alternatives: while nuclear and renewables contribute to carbon‑free generation, Shaw and others said natural gas remains a common resource because combined‑cycle plants can be built faster than nuclear to meet rapid demand growth. Shaw also said new technologies and investments to get more output from existing units are appearing in the current IRP filing.

What the committee will do next: the PSC and other presenters offered to make staff and subject‑matter experts available for deeper briefings and for committee members to review IRP materials and attend PSC hearings. Shaw encouraged lawmakers to visit PSC offices and staff. No formal action or vote occurred during the hearing.

"We look forward to working with you," Shaw said as he closed his presentation.