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Council explores how data centers, AI demand could strain local power supplies

Westminster City Council · August 12, 2025
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Summary

Council members pressed staff on examples and risks from large loads such as data centers and crypto miners; staff described inquiries for 121 MW and smaller 5 MW asks and warned these rapid loads can displace municipal capacity and revenue if not managed contractually.

Council members asked for practical examples of how much load data centers and miners can draw and what that means for Westminster’s small municipal system.

Kevin described an inquiry from a group seeking 121 megawatts for bitcoin mining, then recounted the same group’s willingness to accept smaller chunks such as 5 MW. “This group wanted a 121 megawatts... I told them right out of the gate, we don't have a 121 megawatts,” Kevin said, adding that a 5 MW demand would be double Westminster’s typical use and could be plugged in quickly and then removed, leaving the town with stranded obligations. Joel Ledbetter explained the competitive market: data centers and miners can be built in 18–24 months and can claim large amounts of capacity, and PMPA is competing to secure firm supply for participants.

Council members expressed concern about short‑term customers who take capacity and then leave, which could leave Westminster with maintenance and debt responsibilities without long‑term revenue. Staff said the renewal and PMPA’s placement in another provider’s load forecast (e.g., Santee Cooper) helps secure rights to supplemental capacity; if Westminster is not in that forecast, its access could be limited when large loads enter the market.

Takeaway: rapid industrial load growth and the AI/data‑center buildout are real market pressures for small municipal utilities. Council members asked staff to continue clarifying how contract language would protect the city when large loads seek service.