Latest news with #OfficeofConsumerAdvocate
Technical.ly
04-08-2025
- Business
- Technical.ly
What Pennsylvania's data center boom could mean for your electric bill
As data center developers invest billions in Pennsylvania, the state is weighing who should pay the literal price of their arrival. The Public Utility Commission is set to develop a proposed model tariff — a framework outlining a utility's rates, charges, and terms of service — for 'large load' customers like data centers. The PUC held a hearing in the spring to examine how to protect household consumers when companies or organizations that use a significant amount of electricity, such as data centers, connect to the grid. While the PUC has some regulatory power itself, what it determines from the hearing will likely be used to inform lawmakers' decisions, said Rep. Rob Matzie (D–Beaver), former chair of the House Consumer Protection, Technology and Utilities Committee which frequently works with the PUC. 'The commission is working to review this information in a timely manner,' said PUC press secretary Nils Hagen-Frederiksen. He did not provide a timeline for any potential decision. If projects don't pan out, residents could face 'stranded costs' Dozens of data centers are planned or already built in Pennsylvania, and state officials are pushing to make the Keystone state a leader in landing the facilities. In testimony, the state Office of Consumer Advocate emphasized protecting residents from stranded costs — where utilities invest in improvements for projects that don't materialize or use the projected electricity, leaving those households with the bill. 'Any stranded investments from large load customers paid by ratepayers hinders economic development by raising the cost to businesses and reducing spending by residents,' said Darryl Lawrence, acting consumer advocate for the Office of Consumer Advocate, in submitted testimony. The testimony from consumer advocates, electricity distribution companies, and companies that build or rely on data centers will 'inform future policy' and the creation of the model tariff, according to the PUC's news release announcing the hearing. Ohio has already enacted similar regulation It's a national concern: how to parse out charges as demand for electricity grows. Some states have been addressing the issue. Ohio's PUC this month ordered that data centers must pay a minimum of 85% of their highest forecasted electricity use, even if they use less, to cover infrastructure costs. AEP Ohio, an electric company, previously asked state regulators to require data center developers to pay for at least 90% of the electricity they requested for 10 years, whether they use that much or not. Lawmakers in Georgia are dealing with how to avoid costs shifting to small ratepayers, while increasing the state's energy capacity. Pennsylvania will grapple with the issue in the coming months: Almost 60 parties — including developers, electricity companies, advocacy groups, and citizens — submitted public comments after the hearing. And industry leaders have their eyes on Pennsylvania, with executives from Google, Amazon, Duquesne Light Co., FirstEnergy Pennsylvania, the trade organization Data Center Coalition, and others testifying at the PUC hearing. Amazon announced a $20 billion plan to build two data centers in Bucks and Luzerne counties earlier this year. And President Donald Trump and U.S. Sen. Dave McCormick recently announced $90 billion in AI, energy, and data center investments in Pennsylvania at an AI and energy summit. Local energy companies want developers to foot costs Duquesne Light Co. requires large load developers to handle the costs of their own studies and infrastructure investment, said Jamie Davis, director of rates, energy procurement, and federal/RTO affairs for Duquesne Light Co., in testimony to the PUC. Those costs should fall to large load developers when there is no benefit to other customers, he said. DLC also recommends that large load customers generate their own power to reduce any impacts on existing customers and the grid. The company serves over 600,000 customers in Southwestern Pennsylvania. Officials at FirstEnergy Pennsylvania, which serves over 2 million customers in the state, told the PUC in testimony for the hearing that developments such as data centers can pose new challenges. 'The large loads we are talking about today often require significant investment in the transmission system,' said Kelly Gower, vice president, Finance & Regulatory for FirstEnergy Pennsylvania. 'The requests we are discussing are often for new customers to be situated in geographic areas where electrical systems were not designed to support loads needed anywhere near those which are now being requested.' Protections to balance the legislative push to ease permitting State legislators are introducing an increasing number of bills specifically addressing the influx of data centers to the state, with many bills streamlining permitting. Matzie said he will introduce legislation aimed at protecting Pennsylvanians from increased costs or blackouts and brownouts, a growing concern as data centers put stress on the grid. The language of the bill, which he expects will be finalized and introduced in the fall, is dependent on insights from the PUC. 'We value the expertise over at the Public Utility Commission and what they do and how they do it, so that's a key component,' he said. 'They will be key drivers in coming up with what this final language will look like.'
Yahoo
04-06-2025
- Business
- Yahoo
Pennsylvania Senate confirms new Consumer Advocate nomination
(WHTM) — Attorney General Dave Sunday announced that the Pennsylvania Senate has unanimously confirmed the nomination of Darryl Lawrence as the state's Consumer Advocate. Lawrence has served as interim Consumer Advocate since February 4, after serving as the Senior Assistant Consumer Advocate. He has worked in the department for nearly 20 years and will now represent Commonwealth consumers in public utility service quality and pricing matters. 'I am pleased that the Senate has confirmed my appointment of Darryl Lawrence as Pennsylvania's Consumer Advocate, and am confident that Darryl will serve Pennsylvanians well in that capacity,' Attorney General Sunday said. 'Darryl dedicated his career to advocating on behalf of Pennsylvanians who may not have a voice in the regulatory, judicial, and legislative processes attached to public utilities. He has proven himself as an experienced, tough, fair, and honest advocate.' 'It has been an honor to work for the Office of Consumer Advocate and to serve the public utility customers of Pennsylvania for the past 20 years,' Consumer Advocate Darryl Lawrence said. 'I look forward to continuing this important work as the new Consumer Advocate of Pennsylvania. My heartfelt thanks to Attorney General Dave Sunday, the Pennsylvania Senate, and the incredible staff at the Office of Consumer Advocate who have provided support and encouragement throughout this process. I am deeply honored to take on this new role.' The Pennsylvania Office of Consumer Advocate was established by the General Assembly in 1976 to serve the interests of utility ratepayers in Pennsylvania. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
18-03-2025
- Business
- Yahoo
Attorney General nominates Consumer Advocate after politicalization allegations
(WHTM) — Pennsylvania Attorney General Dave Sunday has nominated Darryl Lawrence to be the Commonwealth's permanent Consumer Advocate. Lawrence is currently the Interim Consumer Advocate and was the Senior Assistant Consumer Advocate, and has worked in the department for nearly 20 years. If confirmed by the Pennsylvania State Senate, Lawrence will represent Commonwealth consumers in public utility service quality and pricing matters permanently. 'I promised I would have an open and transparent process to appoint a Consumer Advocate,' said Attorney General Sunday. 'We accepted numerous applications, held interviews with qualified applicants, and received extensive feedback from stakeholders. I am convinced that Darryl has all the tools required to advocate for the best interests of Pennsylvania consumers because that is what he has always done. Darryl has dedicated his career to advocating on behalf of Pennsylvanians who otherwise may not have a voice in the regulatory, judicial, and legislative processes. During his time with the Office of Consumer Advocate, he established a reputation for being tough, fair, and honest. I'm confident that the Commonwealth will be well served by his leadership for this important agency.' Lawrence has stepped in in the interim after the previous advocate, Patrick Cicero, resigned over what he said are Sunday's ties to utility companies. 'To be nominated for a permanent role as Pennsylvania's Consumer Advocate is indeed an honor,' Acting Consumer Advocate Darryl Lawrence said. 'I take on this new role with a profound sense of duty to always advocate for the best interests of Pennsylvania consumers.' The Pennsylvania Office of Consumer Advocate was established by the General Assembly in 1976 to serve the interests of utility ratepayers in Pennsylvania. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
04-02-2025
- Business
- Yahoo
Pennsylvania Attorney General appoints interim Consumer Advocate amid dispute
(WHTM) – Pennsylvania Attorney General Dave Sunday named Daryl Lawrence as Pennsylvania's interim Consumer Advocate weeks after the previous Consumer Advocate resigned, citing concerns with Sunday's ties to utility companies. The Attorney General's office cited Lawrence's history as a Senior Assistance Consumer Advocate for nearly two decades. The Office of Consumer Advocates represents consumers in utility service quality and pricing matters. Close Thanks for signing up! Watch for us in your inbox. Subscribe Now 'I am confident that Darryl has the experience, expertise, and commitment to public service required to represent the best interests of Pennsylvanians who demand and deserve fair pricing and high-quality when it comes to essential utilities,' Attorney General Sunday said. 'I am continuing the open process of engaging with qualified candidates for the permanent position as Pennsylvania's Consumer Advocate.' 'It has been an honor to serve the consumers of Pennsylvania for the past 20 years in matters involving public utilities,' Lawrence said. 'I look forward to continuing the important work of the Office of Consumer Advocate in this new role.' Patrick Cicero resigned as Pennsylvania's Consumer Advocate last month, blaming 'an open, vocal and public campaign led by various investor-owned utilities' seeking his removal who also donated to Sunday's campaign. Former Public Utility Commission Chairman Jim Cawley says companies wanted Cicero out and that they 'heavily lobbied, including campaign contributions to Dave Sunday to get rid of this guy because he's doing too good a job. That's essentially it.' Sunday responded to those concerns, saying the process for replacing Cicero would be 'open and transparent.' 'I've already reached out to people from all walks of life to help us with this, including groups that advocate for consumers specifically,' said Sunday after he was sworn in last month. 'So bring everybody's voices in, we listen to it, we let anyone apply, they're interviewed. They then have to go through questions that they receive from the Senate.' Lawrence would need to be confirmed by the State Senate. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
