The $46 billion in data centers proposed or under construction in Wisconsin continue to make news over who should pay for the electricity to power them, whether municipalities should use nondisclosure agreements to keep details confidential and more. Here are some of the latest updates:
Utility rates: The state Public Service Commission is accepting public comment on a We Energies proposal for determining whether the general public pays any share of the costs of constructing and operating power plants needed to meet data centers’ electricity demands. One concern is creating more “stranded assets” — power plants that are shut down before their debt is paid off. Wisconsin Watch reported in December that Wisconsin ratepayers owe $1 billion for stranded assets.
Legislation: A state Senate committee is holding hearings Tuesday, Feb. 17, at 12:30 p.m. in Capitol Room 412E on three data center bills. Senate Bill 729 seeks to limit how much general ratepayers can be charged by utilities for the cost of providing electricity to data centers. Senate Bill 843 contains a similar provision and has passed the Assembly, but also contains a controversial requirement that renewable energy used for a data center be on the data center site. Senate Bill 969 would prohibit local governments from signing nondisclosure agreements with data center developers. Separately, a new bill would impose 14 requirements on data center proposals, including prohibiting NDAs between local governments and data center developers. Wisconsin Watch found that local officials in at least four communities signed NDAs to hide details of data center proposals.
Janesville: The City Council put on the Nov. 3 ballot a referendum proposed by data center opponents that could give voters direct say over a hyperscale data center. If the referendum is approved, it would create an ordinance requiring separate referendum approval for any type of development project worth $450 million or more that is proposed for the former General Motors site. The data center proposed for Janesville is worth $8 billion.
Port Washington: Business groups are suing to block a proposed ordinance affecting economic development projects. The proposal was made by citizens who claimed a lack of transparency by the city over a $15 billion data center now under construction.
Grant County: A company seeking a site for a $1 billion data center has included rural Cassville in southwest Wisconsin in its search. A local official said he expects to learn in spring whether the county is still being considered.
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