Georgia Power and the Public Service Commission (PSC) staff have reached a tentative agreement to allow a historic expansion: about 10,000 megawatts of new power supplies over five years, mainly to support data centers. The document, called a stipulation, isn’t final yet. It still requires approval from the five PSC members, but past practice suggests the commission may closely follow the stipulation if it’s adopted.
Under the deal, all 9,885 megawatts of new generation Georgia Power sought would be certified, a crucial step that would let the company begin building and set the stage for future customer charges. The total expansion would surpass the combined output of the four Vogtle nuclear reactors near Augusta.
Most of the new capacity is planned to come from natural gas-fired plants, with the remainder contributed by battery storage and some solar. The push is largely driven by surging demand from data centers—the energy-hungry computing facilities fueling artificial intelligence and other digital services expanding across Georgia.
Georgia Power estimates the capital cost of the new resources at a minimum of $16 billion, not including potential purchases from third parties or other related expenses. As a result, the final price tag could be higher.
In testimony filed with the U.S. Securities and Exchange Commission, PSC staff warned that even with approval for the full expansion, residential bills could rise by about $20 per month or more. Staff had urged the commission to authorize only roughly one-third of the new capacity for now, deeming the rest speculative and a risk to customers.
As part of the stipulation, Georgia Power promises to use any extra revenue from data centers to help keep rates for other customers stable.
In exchange for the commission’s endorsement of the fleet expansion, Georgia Power agreed to structure its next rate adjustment, planned for 2028, in a way that would apply at least $8.50 of downward pressure to residential bills.
However, there’s no guarantee that bills will actually decrease. Downward pressure is not the same as a guaranteed rate cut, and many households use more than the 1,000 kilowatt-hours typical for estimates.
Any changes to rates resulting from the agreement would not take effect until 2029.
Georgia Power CEO Kim Greene framed the deal as benefiting Georgia families: it would let more money stay in customers’ pockets while powering the state’s future. She also stated that large energy users are helping lower bills for families and small businesses.
The announcement came just 90 minutes before hearings on the plan were set to begin, catching attendees off guard at the PSC’s downtown offices. This week’s hearings mark the final opportunity for opposition and support to be presented before the commission votes on December 19.
The hearings, expected to run through Friday, began with some disruption. Environmental and consumer advocates interrupted the proceedings, shouting slogans such as “Power to the people, not Georgia Power.” Police briefly removed several protesters from the room.
Editor’s note: Additional details and comments will be added as they become available.
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Drew Kann covers climate change and environmental issues for The Atlanta Journal-Constitution. He is a University of Georgia and Northwestern University alumnus and previously worked at CNN.
