Mississippi Power Secures Service Area Agreement for Compass Data Center in Lauderdale County

September 09, 2025 | Public Service Commission, Agencies, Organizations, Executive, Mississippi


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Mississippi Power Secures Service Area Agreement for Compass Data Center in Lauderdale County
In a recent meeting of the Mississippi Public Service Commission, the atmosphere was charged with anticipation as commissioners gathered to discuss critical developments in the state's energy landscape. The session, held on September 9, 2025, marked a significant step forward in the collaboration between Mississippi Power Company and East Mississippi Electric Power Association.

The meeting kicked off with a swift approval of the agenda, setting the stage for a pivotal discussion on a joint application filed by the two energy providers. Commissioner Myrick took the floor to present item number three, which focused on docket number 2025 UA 68. This proposal sought approval for a service area agreement that would allow Mississippi Power to extend its electric service to the Compass Data Center facilities located in Lauderdale County.

Myrick explained that the agreement was born out of a mutual understanding between the two companies. It was deemed unreasonable for East Mississippi to serve part of the Compass facilities within its certificated area, as this would lead to an unnecessary duplication of electrical infrastructure. Instead, Mississippi Power will take on the responsibility, ensuring efficient service delivery without burdening consumers with additional costs.

A confidential agreement between the two entities outlines the terms of this arrangement, including an annual fixed fee that Mississippi Power will pay to East Mississippi for the service provided. This financial structure is designed to ensure that the incremental revenue generated from the Compass Data Center will outweigh any associated costs, thereby maintaining stable rates for consumers.

As the meeting progressed, the commissioners expressed their support for the proposal, recognizing its potential to enhance service efficiency and economic viability in the region. The motion to approve the agreement was met with unanimous approval, reflecting a shared commitment to fostering collaboration in Mississippi's energy sector.

This decision not only paves the way for improved electric service to a key facility but also highlights the ongoing efforts of the Mississippi Public Service Commission to adapt to the evolving needs of the state's energy consumers. As the meeting concluded, it was clear that the partnership between Mississippi Power and East Mississippi Electric Power Association represents a forward-thinking approach to energy management in Mississippi.

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