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HB 1063

Electric utilities; protect residential and retail electricity customers from costs associated with data center construction and operation; require

2025-2026 Regular Session Introduced by Victor Anderson and 5 co-sponsors

Georgia law prohibits utilities from charging residential and retail customers for data center construction and operational expenses, shifting costs entirely to data center operators.

Senate Read and Referred
#publicutilitiesandtransportation
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Bill Summary · HB 1063

Legislative bill overview

HB 1063 prevents Georgia's electric utilities from passing construction and operational costs of data centers onto residential and retail electricity customers. The bill requires data center operators to bear their own infrastructure expenses rather than distributing them across the broader customer base through utility rates.

Why is this important

Data centers consume enormous amounts of electricity, and without this protection, utilities could recoup their infrastructure investments by raising rates for all customers. This affects millions of Georgia households and small businesses whose electricity bills could increase to subsidize the power demands of large tech companies and data operations. Georgia is competing to attract data center investment, making cost allocation a key issue in the state's economic development strategy.

Potential points of contention

  • Economic development trade-off: Placing full cost burden on data centers may discourage facility location in Georgia, potentially losing jobs and tax revenue compared to neighboring states with more favorable utility terms
  • Rate fairness debate: Whether data centers provide sufficient economic benefits (jobs, tax revenue, grid modernization investment) to justify spreading infrastructure costs across all ratepayers
  • Utility financial impact: Electric companies may face reduced revenue or need to raise rates elsewhere, potentially affecting their ability to invest in grid reliability and renewable energy infrastructure
  • Definition clarity: The bill's scope depends on how "data center" is defined and what specific costs are prohibited from rate recovery

Compiled from official sources — confirm details with the bill’s official record.

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