In a recent meeting of the Senate Judiciary Committee's Special Committee on South Carolina’s Energy Future, discussions highlighted the growing challenges posed by the influx of data centers in the region. As committee members gathered, the atmosphere was charged with concern over the uneven distribution of benefits and costs associated with these massive facilities.
One committee member pointed out a significant issue: while individual counties that host data centers enjoy substantial boosts to their property tax bases and various incentives, the broader impact on surrounding counties is less favorable. With Duke Power serving nearly 30 counties, the benefits of a data center in one county can lead to increased costs for the others. These neighboring counties are left to shoulder the financial burden of new generating capacity required to support the energy demands of these large operations.
The member emphasized the unfairness of this dynamic, stating, “That’s not very fair to Fred and Ethel,” referring to the average residents who may not see any direct benefits from the data centers yet face rising costs. The discussion underscored the need for a reevaluation of how costs and benefits are allocated among the counties, suggesting that a more equitable approach is necessary to address the disparities created by the data center boom.
As the meeting progressed, the committee also acknowledged the transition within Duke Energy’s leadership, with Mike departing for a new role in Charlotte. His contributions to Duke South Carolina were recognized, highlighting the importance of strong leadership during this period of change.
The committee's discussions reflect a critical moment for South Carolina's energy future, as they seek to balance economic growth with fairness and sustainability for all residents. The path forward will require careful consideration of how to manage the impacts of rapid technological expansion while ensuring that the benefits are shared more equitably across the state.