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Kentucky leaders align on protecting residents from data center energy costs

Rep: Protections Need to Be Passed into Law
Kentucky governor urges skepticism and open mindedness on data centers
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FRANKFORT, Ky. (LEX NEWS) — Kentucky Gov. Andy Beshear issued an executive order to protect Kentuckians from the "harmful impacts" of data centers on on Thursday, and some state lawmakers say they are align with that concept.

The order requires companies to submit an initial energy plan proving their data center won't raise electric bills for nearby homes and businesses. It also directs the Kentucky Public Service Commission (PSC) to block any rate increases for utility companies seeking to recover costs tied to data centers.

State Rep. Adam Moore, who filed a bill during the last legislative session to protect Kentuckians from higher power bills caused by data centers, said the governor's order reflects where the public stands.

"He is largely in lock step with where the people of Kentucky are," Moore said.

Moore supports the order but says the protections need to be written into law, arguing the current language doesn't give regulators enough to work with.

"The truth is, most of those points in the executive order are one or two sentences. I do think we need to enshrine it into law because the PSC will be better served to have actual clear guidance on what to do versus a couple sentences to go off of from the governor," Moore said.

Moore said rate payer protection is an area where Democrats and Republicans appear to agree.

Earlier this year, a bill passed the Kentucky House of Representatives but stalled in the Senate. However, Senate President Robert Stivers said in a statement that he supports ensuring Kentuckians' electric bills don't increase.

"If data centers require new infrastructure, the developers, not Kentucky ratepayers, should bear the cost," Stivers said.

Stivers added, "If we're going to establish a lasting framework for data centers, it should be done the right way, through the legislative process with input from all involved parties."

Rep. Adam Moore calls for data center protections to be written into KY law after executive order