AI data centers mushroom nationwide amid rising consumer electric power rates

by WorldTribune Staff, January 16, 2026 Real World News

Since artificial intelligence (AI) data centers require massive amounts of electricity to operate, they are causing power bills to increase essentially on a nationwide scale, critics say.

States with major AI data center hubs, including Virginia, Ohio, and Illinois, have seen faster price increases than the national average, according to the U.S. Energy Information Administration (EIA).

Individual AI data center facilities require 100+ megawatts of power and next-gen sites reportedly will need 1 to 2 gigawatts, equivalent to powering small cities. / Video Image

With new data centers planned for North Carolina, residents are concerned that their power bills will rise beyond their means.

Duke Energy, which serves millions in the Tar Heel state, is reportedly seeking a 15% increase over the next two years, which could add $20 to $30 a month to household bills by 2028.

The proposed rate hikes would increase Duke Energy’s revenues by over $1.7 billion, analysts say.

Under the state’s current structure, changed this summer by Senate Bill 266, residential customers could shoulder a greater share of the cost of fuel and purchased power, while large commercial customers pay less.

Gov. Josh Stein has lauded North Carolina Attorney General Jeff Jackson for intervening in the case, calling the increase “simply too high” when “families are struggling to make ends meet,” WRAL News reported.

“It’s important we take a close look at Duke Energy’s proposed rate increase to ensure it is necessary,” Jackson said in a statement. “My office is intervening to make sure we find the right balance between investing in our energy infrastructure and protecting North Carolinians’ wallets.”

Luke Wilson, executive director of the Indiana Utility Regulatory Commission, said his state expects peak power demand to increase by as much as 60% by the 2030s, driven largely by AI data centers.

“You have to make sure growth pays for growth,” Wilson said. He described Indiana’s new rules that require large users to cover most of the cost of new generation built specifically to serve them.

Virginia State Corporation Commission member Kelsey Baggett said her state has seen hundreds of data center projects line up for grid access, especially in Northern Virginia. The surge prompted regulators there to create a separate electric rate class to ensure big tech users pay their share.

“We have to make sure costs are allocated fairly,” Baggett said.


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