(The Center Square) – Protection of families, small businesses and taxpayers from utility rate increases attached to data center development and energy policy mandates cleared North Carolina’s House of Representatives this week with support from two Democrats and two independents formerly Democrats.
No Republicans were against Ratepayer Protection Act, known also as Senate Bill 730. Senators are back in session this week, with Tuesday the first day of committee meetings.
The bill, supporters say, will protect ratepayers from subsidizing data centers. It’s also intended to support affordable, reliable energy for future generations.
Passage was 69-44. Among the ayes were Democratic Reps. Pricey Harrison of Guilford County and Shelly Willingham of Edgecombe County, and Mecklenburg County independent Reps. Carla Cunningham and Nasif Majeed.
The bill was initially filed and made it through the crossover deadline last spring known as the Expand CEPS/Nuclear and Hydro. Davidson County Republican Sen. Steve Jarvis’ one-page proposal was “an act to expand the clean energy portfolio standard to include existing nuclear and large hydroelectric power facilities.”
In the 12-page measure sent to the Senate on Thursday, that language is gone. Senate passage had been 29-18, with no Republicans against it and no Democrats for it.
“This is an idea worth exploring in order to keep other customers from shouldering the costs of constructing new power plants to meet the new demand, specifically from data centers,” Jon Sanders told the Carolina Journal this week. He’s director of the John Locke Foundation’s Center for Food, Power, and Life.
“That said, changing the law to allow data centers voluntarily to supply or contract for their own power independent from the grid would shield other customers from the risks without requiring special contracts and terms with the utility,” Sanders said.
March polling statewide by the Carolina Journal, in conjunction with Harper Polling, said 78.2% of voters believe data centers should generate their energy. Fewer than 10% opposed the idea.
House supporters say the legislation would bring about stronger oversight of data centers; changes to energy policy; and a measure aimed at ethics and accountability.
“North Carolinians are already feeling the pinch of higher electricity bills, and we cannot allow massive data centers and unrealistic green energy mandates to make it worse,” said Franklin County Republican Rep. Matthew Winslow. “Data centers bring economic opportunity, but they must not come at the expense of our ratepayers, our water resources, or our energy reliability. The Ratepayer Protection Act strikes the right balance – encouraging responsible growth while putting North Carolina families first.”