Georgia Regulators Approve Controversial OpenAI Data Center Power Deal Without Public Vote
Georgia Power's contract to supply electricity to a 3.2-gigawatt data center for OpenAI was approved by Public Service Commission staff without a direct vote by commissioners. Environmental groups criticized the lack of transparency and raised concerns about ratepayer impacts and protections if the data center's power needs change. The groups called for elected commissioners to have a formal role in future contract decisions.
The approval bypassed Georgia's elected commissioners entirely, with staff and Georgia Power issuing a joint letter instead of a formal commission vote. The 3.2-gigawatt facility in Effingham County represents one of the largest single power loads ever contracted in the state, raising questions about how the utility calculates costs for serving such massive customers.
Environmental advocates specifically questioned what happens if OpenAI scales back its power needs or abandons the site entirely, leaving Georgia Power unable to find replacement demand. Both the Sierra Club and Southern Alliance for Clean Energy emphasized that the current review process lacks mechanisms for public input or commissioner oversight, despite the contract's potential to affect electricity rates for all Georgia customers.
This decision could reshape how large industrial power contracts are reviewed across the country, as states compete for AI infrastructure investment. Georgia ratepayers may bear financial risk if the data center's power demand changes, while the precedent of staff-level approval could weaken public oversight of major utility agreements. The outcome may influence how other states balance economic development incentives against consumer protections in the rapidly expanding AI sector.