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Consumer advocates cite outages, traffic and secrecy; urge cost caps and ramp-down options

November 20, 2025 | 2025 Legislature LA, Louisiana


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Consumer advocates cite outages, traffic and secrecy; urge cost caps and ramp-down options
BATON ROUGE — A statewide consumer advocate told a Senate task force on Nov. 20 that residents near the Meta construction site are already experiencing reliability and safety problems and called for stronger transparency and cost protections before more hyperscale data centers are certified.

"Locals said their water sometimes turns rust colored and that their electricity cuts off with no warning," Elena Delara, Louisiana Public Service Policy Coordinator for the Alliance for Affordable Energy, said in public comment, citing local reporting and interviews. She added that one couple reported their power "was cut out for 3 days." Delara said the group subpoenaed Meta for certain contract details but that key terms remain confidential under non-disclosure.

Delara told the committee she and colleagues worry that after a 15‑year parent‑guarantee period, remaining generation costs could be shifted to residential and small business customers if projects are not structured to ensure cost causation. "We do not know what the bill payment is," she said, noting limited public access to the parent-guarantee and minimum‑bill provisions.

She proposed policy options the task force should consider: ramp‑down windows (temporary voluntary reductions in data‑center load at system peaks, a practice some hyperscalers have explored), enforceable cost caps so projects that exceed budget would not push excess costs to ratepayers, and stronger local safety/traffic mitigations for construction activity.

Utilities and the LPSC consultant responded in the hearing that certification processes, parental guarantees and negotiated contract terms were designed to limit subsidy risk and that Entergy and other utilities plan resilience and transmission investments. But Delara urged the task force to press for greater contract transparency and concrete mitigation plans for communities hosting large projects.

The task force accepted public comment and signaled it will follow up with more documentary requests and future hearings.

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Scribe from Workplace AI
Scribe from Workplace AI