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Braun says he favors local control on data centers, points to regulatory changes for ratepayers
Summary
Responding to concerns that a proposed data center could raise utility rates, Governor Braun emphasized local control, said data centers pay construction costs and said he replaced members of the state utility regulator to be more 'ratepayer-conscious.'
Governor Eric Braun said Thursday that decisions about proposed data centers belong with local governments and defended recent changes to the state's utility regulatory board intended to protect ratepayers.
Asked whether the administration or state lawmakers were considering uniform policies for data centers, Braun said, "I'm a big believer in local rule," and urged counties to evaluate whether projects make sense for their communities. He added that large data centers pay for construction and increase demand on the grid, which can affect rates locally.
On regulation, Braun said he reconstituted the state regulatory body overseeing utilities, replacing three of five board members to make the commission more "ratepayer-conscious" rather than a "rubber stamp" for investor-owned utilities. He cited AEP as an example of an investor-owned utility involved in capacity and rate matters.
Braun advised local officials to examine proposed projects' costs and benefits, noting that data centers can create construction jobs and long-term economic activity but can also alter utility loads and rate dynamics. He did not announce new state rules or legislation at the event.
