Georgia regulators approve 10 GW expansion to meet AI data center demand

Core Insights - The Georgia Public Service Commission has authorized Georgia Power to procure approximately 9.9 GW of new generation capacity to support the growing AI data center industry [1] - Data centers are projected to consume around 80% of the new power supply [1] Group 1: Capacity Expansion - The expansion plan includes 3.6 GW of new combined cycle natural gas generation, 3 GW of battery energy storage systems, 350 MW of solar with battery storage, and over 2.8 GW of power purchase agreements [2] - This expansion represents a 50% increase in capacity for Georgia Power, the state's largest electric utility [2] Group 2: Financial Implications - The project involves an investment of $16.3 billion to meet what regulators describe as insatiable demand from the AI data center sector [3] - Total costs for AI data center clients could reach between $50 billion and $60 billion over several decades, factoring in interest and guaranteed profits [3] Group 3: Regulatory and Risk Considerations - Critics express concerns that the plan may impose undue risk on consumers if demand from the technology sector declines [4] - The Public Service Commission has updated regulations for large-load customers, requiring data center clients to provide greater financial commitments and demonstrate infrastructure readiness [5] - Georgia Power has already filed over 3 GW of new customer contracts under these stricter criteria [5]