The Georgia Public Service Commission (PSC) voted 3-2 to reject a proposal to reconsider Georgia Power's large-scale grid expansion plan, a project designed to meet the anticipated electricity demand from data centers.
Proposal Rejected
Commissioner Peter Hubbard submitted a motion to decertify a 797-megawatt power generation facility and at least 2,622 additional megawatts of capacity due to a lack of signed customer contracts, particularly concerning natural gas combined-cycle units.
Hubbard argued that natural gas power plants are the most expensive items in the plan and that lower-cost alternatives had not been fully considered.
However, the PSC voted 3-2 on Wednesday to uphold its previous decision, declining to reopen the docket.
- Two Democratic commissioners, Peter Hubbard and Alicia Johnson, voted in favor of reconsideration.
- Three Republican commissioners, Jason Shaw, Tricia Pridemore, and Bubba McDonald, voted against it.
$15.6 Billion Plan
The 10,000-megawatt grid expansion plan was approved by the PSC in December 2025 with a 5-0 vote, just before Hubbard and Johnson took office in January 2026.
The total projected cost is approximately $15.6 billion. The new plants have the capacity to meet the total electricity demand of all Georgia households, but a significant portion of the output is designed to serve data centers.
Currently, the anticipated electricity demand from data centers has not materialized as predicted.
Debate Over Cost Burden
Hubbard expressed concern that if demand does not materialize, costs could be passed on to consumers:
"My proposal is not anti-growth. It protects consumers and is based on common sense. Georgia families and small businesses should not be asked to underwrite speculative projects without firm commitments."
Under state law, Georgia Power can begin spending on the project and recover costs directly from customers even if electricity demand does not meet expectations.
Hubbard warned that families and small businesses could bear billions of dollars in costs for decades if data centers do not remain operational long enough to pay off the new plants within 45 years.
Georgia Power's Argument
Georgia Power and supporting commissioners stated that the expansion agreement includes protective mechanisms to prevent current customers from bearing the full costs.
The company agreed to cover the costs of new infrastructure until at least 2031, even if data center growth does not occur.
Georgia Power argued that the plan could put downward pressure on electricity prices, saving residential customers approximately $8.50 per month (about $102 per year) during the 2029-2031 period.
The PSC does not regulate data center construction but is responsible for overseeing how the state's electricity providers distribute power.