The Georgia Public Service Commission (PSC) has voted to approve a new rule that allows new large-load Georgia Power customers using more than 100MW of electricity to be billed based on the risks associated with their projects.

The rule, which passed unanimously, requires data centers to pay the transmission and distribution costs incurred as their construction progresses.

Additionally, new contracts with the state utility Georgia Power with large-load customers exceeding 100MW would need to be submitted to the PSC for review.

“The amount of energy these new industries consume is staggering,” PSC Chairman Jason Shaw said. “By approving this new rule, the PSC is helping ensure that existing Georgia Power customers will be spared additional costs associated with adding these large-load customers to the grid.”

PSC Commissioner Lauren McDonald said that data center power demands will be among the issues addressed when Georgia Power files its latest Integrated resource plan, which is due later this month.

The rule follows Georgia Power's projection late last year that the state's electricity demand could triple in the next decade.

Georgia Power’s pipeline of development projects has swelled significantly in 2024, rising from 12GW to 36.5GW. Large-scale facilities, including data centers, account for 34.6GW of expected demand.

The utility has received commitments to purchase electricity from 70 data center facilities. In November, Stream Data Centers announced plans for a 49,300 sq ft (13,870 sqm) data center campus in Douglas County, west of Atlanta.

To meet the demand, Georgia Power obtained approval from the PSC to expand its generation capacity by increasing its reliance on fossil fuels and adding more renewable energy by 2025.