Nebraska data centers under fire on Election Day eve
As Nebraska prepares for Tuesday's midterm elections, concerns are growing over whether expanding data centers could drive up household electricity bills.
A new state law gives public power suppliers the authority to require data centers to cover the full cost of their electricity service, including infrastructure upgrades.
David Linder, a 26-year resident of Bellevue, said he is already feeling the pinch of higher electricity costs.
"My monthly electricity rate has gone from $174 to $230 a month. That's more than a 30% uptick just in one month," Linder pointed out.
Data center directories show dozens of facilities across Nebraska, with the largest concentrations in Omaha and Papillion. The Omaha Public Power District said revenue from data centers can help limit rate increases for customers. Governor Jim Pillen signed an executive order in July ending state tax incentives for data centers. The order also established a task force to examine their effects on natural resources.
Major technology companies, including Google and Meta, have invested heavily in Nebraska's data center industry, bringing economic development opportunities along with growing demands for electricity. Although state law gives utilities the authority to charge data centers for infrastructure costs, some residents still worry about the potential impact on their electric bills.
Linder is clear about how he thinks the issue should be handled.
"I think that if we're going to have these super mega corporations come in and bring their data centers into our area, I think they should be bearing the cost of this as well as the cost of the electricity used," Linder contended.
Linder added he supports a two-year moratorium on new data centers while policymakers consider additional safeguards.