Skip to main content

How the AI-driven data center boom is leading to skyrocketing energy bills

▶ Watch Video: How high energy bills, driven by new data centers, are affecting average Americans

Atlanta — It is a sunny afternoon in Atlanta, Georgia, but inside Carolyn Kayne’s 3,000-square-foot home, it is cold.

“I’m walking around in a ski suit trying to stay warm in the winter,” Kayne told CBS News.

It is just one of the ways Kayne has tried to beat her skyrocketing electric bills, which have almost doubled in two years.

She has now turned off her heat and water, leaving much of her home hard to live in.

“I live in a little apartment in the back,” Kayne explains. 

Patty Durand, founder of the nonprofit advocacy group Georgians for Affordable Energy says Carolyn’s situation is not unique.

“The average bill for an average customer used to be about $150 a month,” Durand said. “The average bill now is $225.”

A CBS News analysis found that Georgia Power, the largest energy provider in the state, imposed six rate hikes in the last three years.

During which time, the Vogtle nuclear power plant went online and Georgia saw a boom in data centers. Those data centers, Durand says, came to Georgia for discounted power.

The growing use of artificial intelligence has sparked a demand for data centers. And across the U.S., new data centers are driving up utility bills in at least 13 states, according to the Institute for Energy Economics and Financial Analysis.

Americans who live near data centers are paying as much as 267% more a month for energy than five years ago, a 2025 Bloomberg’s analysis determined. 

This week, meanwhile, Maine Gov. Janet Mills vetoed a bill that would have made her state the first to ban construction of new data centers.

“I believe it necessary and important to examine and plan for the potential impacts of large-scale data centers in Maine, as the use of artificial intelligence becomes more widespread,” Mills said in a statement announcing her reasoning.

“Data centers will add billions of dollars to costs to electricity rates in Georgia if we don’t get better protection than we have right now,” Durand said.

Within the last year, Georgia Power announced a rate freeze and agreed to use revenue from large customers like data centers to lower costs for residents. Georgia Power denies passing the cost of data centers on to others. 

“There is no no risk that residential customers will end up paying for the costs of this large growth, including data centers,” Aaron Mitchell, senior vice president for strategic growth at Georgia Power said.

But for Georgians like Kayne who are already taking extreme measures, it might be too late.

“I guess maybe it is time, you know, to give up my home,” Kayne said. 

Republican Sen. Bill Cassidy, in emotional announcement, says he will vote for Todd Blanche to be attorney general

U.S. Sen. Bill Cassidy (R-LA) walks out of the Senate Chambers during a vote in the U.S. Capitol Building on July 20, 2026, in Washington, D.C. (Anna Moneymaker/Getty Images)(WASHINGTON) -- Republican Sen. Bill Cassidy announced Friday he will vote for acting Attorney General Todd Blanche to lead the Department of Justice, likely clearing the way for Blanche to be narrowly confirmed.All eyes were on Cassidy after two other Republican senators, Susan Collins of Maine and Lisa Murkowski of Alaska, announced their opposition to President Donald Trump's nominee.Cassidy, in a speech on the Senate floor, said that he is supporting Blanche because he sees him as more favorable than potential alternatives."Mr. Blanche is not perfect, and he will tell you this. But the choice is not between perfection and Mr. Blanche. It is between Mr. Blanche and another acting attorney general, who may not run the department effectively under President Trump, and who indeed may not be as good as Mr. Blanche," the senator said. "This puts at risk the progress made fighting violent crime, human and drug trafficking and fraud. And this does not serve the American people well."Cassidy, who is leaving office in January after losing to a Republican primary challenger and who has clashed with Trump several times in recent months, appeared to grow emotional as he stated his case."This is not a referendum on President Trump. It is a decision regarding Mr. Blanche and very specific circumstances. All considered, I will vote for Mr. Blanche. I'll be criticized for this vote. What's new?" Cassidy said, taking a long pause and choking up before he continued. "But people of Louisiana can be assured that I work hard to understand the issue, and to make the right decision."The Senate has not yet agreed when they will hold a full vote on Blanche's nomination.While Murkowski said she would "oppose" Blanche's nomination, it remains unclear whether she will cast a "no" vote or use a procedural pairing arrangement with absent Sen. Mitch McConnell that would allow her not to vote while maintaining the balance of the Senate.Murkowski said in a statement released Friday morning that she had "numerous constructive meetings" with Blanche and described him as "decent and capable." She also praised his efforts to learn about Alaska and said that, as acting attorney general, he had made "several noteworthy decisions" that would benefit the state and the nation."Ultimately, however, I will oppose his nomination," Murkowski said in a statement, citing concerns about what she described as the politicization and "weaponization" of the Justice Department."The politicization -- even weaponization -- of the Department did not start with this administration but has accelerated during it," Murkowski said.Among the issues she cited were the handling of the release of the Jeffrey Epstein files, what she called "sweeping immunity protections" granted to the president, his family and their businesses, statements made to anti-abortion groups, and what she described as the repeated targeting of individuals ranging from former administration staff to sitting U.S. senators."The country needs an Attorney General who will check the worst impulses of this administration," Murkowski added. "I hope Mr. Blanche is able to achieve that, if confirmed, but I simply do not have confidence that will be the case."Earlier this week, Collins said in a statement that she would vote no on Blanche's nomination."While I believe Mr. Blanche is a capable lawyer, the Department of Justice has become increasingly political," Collins said in a statement. "Mr. Blanche has taken several actions that have further eroded the Department’s independence, and that is the basis for my vote to oppose his confirmation."Copyright © 2026, ABC Audio. All rights reserved.
Read Next Story