Georgia Regulators Clear Power Deal for OpenAI Data Center

Staff at the Georgia Public Service Commission cleared a regulatory hurdle on Wednesday for a proposed $20 billion OpenAI data center in Effingham County. The agency declined to object to an electricity contract with Georgia Power that would add 3,200 megawatts of potential demand to the grid.

Under the terms of the agreement, OpenAI will cover all project-specific infrastructure costs and commit 1,000 MW of flexible demand to allow for power curtailment during peak periods. To protect residential ratepayers from the costs associated with large-load growth, Georgia Power increased its promised benefit to typical residential customers to at least $15 per month from 2029 through 2031, rising from a previous commitment of $8.50 to $102 annually.

Georgia Power is required to provide biannual performance updates on its data center contracts and must release a public summary of the OpenAI agreement within 10 days. While the electricity contract has been cleared, the decision does not constitute final approval for the entire data center development.