Who Foots the Bill on AI Data Centers & Crypto Mining?
Ohio is becoming one of the fastest-growing hubs for AI data centers in the country. There are currently 193 operating here, according to Data Center Map, and we rank 5th nationally for the highest number of data centers.
Some reports say the data center boom is fueling economic growth, but it also presents a serious problem—higher energy costs.
Electricity costs have been rising steadily for over a decade in Ohio, but recent increases have been sharp. Some homeowners saw their bills double from one month to the next this past summer.
Here’s a closer look at what’s going on with the Ohio data center boom and what it means for your electric bill.
How Do Data Centers Increase Energy Costs?
Data centers are power-hungry. They suck up massive amounts of energy, which can lead to higher energy costs.
There are two main reasons why this happens:
1. They Spike Demand for Electricity
Data centers have a significant impact on electricity demand. Since they use so much power, their demand spikes are faster than new supply can be added, which leads to an increase in wholesale electricity costs. When wholesale costs go up, so do rates.
2. They Require Infrastructure Improvements
To meet the rising demand, grids need to add supply, which is done by building new power plants or, in a best-case scenario, connecting utility-scale solar farms. These are expensive upgrades.
At the same time, the electric grid itself is getting old. Most of it was built back in the 60s and 70s, and it was never designed to handle the amount of power we use today.
More infrastructure upgrades are needed to address those concerns and keep the grid reliable. The cost is often passed on to consumers through rate increases.
Some Protections Are Being Put in Place
Earlier this year, the Public Utilities Commission of Ohio (PUCO) adopted an agreement to help protect homeowners and small businesses from rising energy costs tied to data centers. This is a step in the right direction, but concerns around rising costs remain.
How Can You Avoid Rising Energy Costs Tied to Data Centers?
The data center boom doesn’t show any signs of slowing down. It’s being fueled by AI growth, and the Department of Energy expects energy usage from data centers to double or even triple by 2028.
So, what can you do?
Unfortunately, you can’t control energy costs. But you can control how much grid-generated power your home uses.
There are two ways to do this:
1. Make Energy Efficiency Improvements
Making your home more efficient through upgrades like attic insulation and air sealing cuts down on energy usage. Every kilowatt-hour you don’t use is one you don’t have to buy, which means lower bills.
2. Install Solar Panels for Your Home
Solar panels give you the power to produce your own electricity right on your roof. The systems we install are designed to cover 100% of your home’s energy usage, significantly reducing your reliance on the electric grid and saving you tens of thousands of dollars over their 25+ year lifespan.
At Sustainergy Cooperative, we recommend a combination. Our process, which we call Smart Solar, starts by lowering your home’s energy usage with high-impact improvements like air sealing and insulation. With usage down, you can cover your needs with a smaller, more affordable solar panel system.
As a local, worker-owned cooperative, we understand what rising energy costs mean for Ohio families, because we’re feeling it too. Our mission is to put power back in your hands by helping you use less and generate more.
