As demand for energy from data centers grows, so are residential concerns that the power-hungry facilities are driving up their bills.
A newly announced gas power plant could be the testing ground for making sure data center energy costs aren’t passed onto residents.
The 2,000-megawatt Desert Sun Power Plant near Gila Bend will be done in two phases. The cost for the first phase will be covered by all users.
But officials at Arizona Public Service, which is building the plant, say the second phase will use a subscription model from large industrial users like data centers.
Jacob Tetlow is executive vice president with APS.
“They actually front some of the financials to help build it. They're committing to taking that energy for the long term. And then they get rights to that energy," Tetlow said.
He says the proposal still needs to be approved by the state agency that regulates utilities. Tetlow did not say how much the plant will cost to build, or how expensive the subscription models will be.
The gas will come from Texas through the Transwestern pipeline announced in August.
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Before public comment started, protesters gathered outside the Arizona Corporation Commission Office, speaking against APS's proposed rate hike. -
The start of the hearings will mark the last time the public will be able to provide comment to the Arizona Corporation Commission on the APS rate case. -
Poll shows a divide between what people want and the direction of the Trump Administration when it comes to addressing global warming -
Arizona Public Service’s parent company reported first-quarter sales growth that was well above average for the utility. The heat wave in March and February was a driving factor, but so was industry growth. -
Utilities across the West are launching a new regional energy market designed to help them buy and share power a full day before it's needed — an effort supporters say could lower costs, improve reliability and make it easier to move renewable energy across state lines.
