Assessing the Cost of Serving Data Center Load in Ohio

Jeff Johnston and Teri Viswanath

November 15, 2024

All eyes in the utility and data center worlds are on Ohio, as a precedent-setting electricity rate proposal from AEP Ohio plays out in the next few weeks. The utility, an American Electric Power company,  seeks to insulate Ohio customers from higher electric bills associated with the rapidly increasing costs of data center systems. Tech companies, however, argue the new rate scheme goes too far, locking data centers into significant financial obligations without clear assurances that AEP will supply electricity when they need it.

CoBank experts Jeff Johnston and Teri Viswanath examine the data center rate case, looking at the takeaways other states might use to create a blueprint that balances the interests of all ratepayers.

 
 

Disclaimer: The information provided in this report is not intended to be investment, tax, or legal advice and should not be relied upon by recipients for such purposes. The information contained in this report has been compiled from what CoBank regards as reliable sources. However, CoBank does not make any representation or warranty regarding the content, and disclaims any responsibility for the information, materials, third-party opinions, and data included in this report. In no event will CoBank be liable for any decision made or actions taken by any person or persons relying on the information contained in this report.

 
 
 
 

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