Current Cases:
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Mount Pleasant (Racine County): Microsoft Data Center Campus
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Port Washington: Lighthouse Data Center Campus (Oracle / OpenAI / Vantage)
Data Center Pricing Plan
(VLC tariff and bespoke resources tariff, case 6630-TE-113)
CUB is working to ensure tech companies pay their way, and that homeowners, renters and small businesses aren’t left holding the bag for power plants that ultimately might not be needed. CUB seeks safeguards to protect customers from the significant risks involved with the AI data center boom.
CUB won a big victory in May when the Public Service Commission revamped the We Energies proposal for the prices it would set for data centers. The PSC added multiple safeguards requested by CUB.
News and Commentary:
- CUB press release
- PSC press release
- Cap Times Article: Data center ruling sends ‘big message’ on who pays for energy use
- Wisconsin Watch Article: Wisconsin Regulators: Data centers must cover full cost of their energy needs
- Tom Content oped in Journal Sentinel
PSC Case Filings:
- 6630-TE-113 here
- CUB’s initial brief (our closing argument in this case)
CUB’s work on this case continues because of Oracle’s lawsuit objecting to some of the safeguards CUB sought.
Case Updates and Related Coverage:
- Journal Sentinel article on the Oracle issue
- WPR article: WEC CEO confident Oracle will meet financial requirements for data center
- Tom Content’s column in Milwaukee Journal Sentinel supporting the PSC decision
- CUB Response to We Energies’ request for reconsideration
- Steve Kihm’s affidavit opposing the request for reconsideration
With the We Energies data center pricing framework in place, CUB continues to work on data center issues in other cases, including:
- We Energies rate case for 2027-2028, where the focus will be on ensuring tech companies are billed correctly under that framework.
- Proposals by We Energies to build power plants to serve data centers, including:
- natural gas plant in Paris, Kenosha County
- Natural gas plant in Darien, Walworth County
- Conversion of the Elm Road coal plant in Oak Creek to burn natural gas
- Upgrades at the Port Washington natural gas plant
- Purchase of Dairyland Power Cooperative’s share of a coal plant near Wausau.
Protecting Customers from Transmission Costs for Data Centers
One issue that was not resolved completely by the PSC is how to collect the costs of big new transmission lines needed for data centers. Will customers be on the hook for more than $2 billion of power line projects for data centers? Under current rules, transmission cost cannot be directly assigned to a data center.
This is being discussed in multiple forums at the state level as well as at the federal energy regulatory commission.
Transmission Resources and Reporting
- WisPolitics article with an overview of transmission cost challenges
- ATC DC page below if we create that.
- Journal Sentinel article about ATC transmission costs for data centers
- CUB Energy Affordability and Data Centers Presentation
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