By Brewster Bevis, Associated Industries of Florida
We’re all aware the U.S. is having a national conversation about data centers. But in case you missed it, Florida just dropped the mic and sat down.
Gov. Ron DeSantis signed a new data center bill into law that directs the Florida Public Service Commission to ensure large power users bear their own cost of service so they can’t shift costs onto everyone else.
As the governor put it: “You should not pay one more red cent for electricity because of a hyper-scale data center as an individual.”
Now that this bill is signed into law, any data center or other power-intensive facility must pay its own way.
The Florida Public Service Commission has already approved a large load rate structure for Florida Power & Light Company, which makes large customers pay 100% of the cost of new power generation needed to serve their projects. A similar filing by Duke Energy is currently under review by the Florida Public Service Commission. Ultimately, all electric utilities will have tariffs and contracts safeguarding customers.
Florida’s new model stands out because by putting these protections in place before these power-intensive facilities arrive, large electricity users can now help improve the grid and, in the long run, reduce costs for Floridians.
When large customers pay their full cost and provide steady demand, they help spread fixed system costs across more customers and reduce long-term bill pressure on everyone else.
Every other state in the union is worried about data centers increasing power prices. Florida flipped the equation on its head.
This new law is a major win for Florida, and it offers a blueprint for the rest of the nation: Require large users to pay their own way, protect existing customers and plan ahead.
This is a smart and common-sense approach that can move our state’s economy forward, without leaving Florida families behind.
Yet again, Florida’s done it right.
Brewster Bevis is the president and CEO of Associated Industries of Florida. This opinion piece was originally published by the Tampa Bay Times, which is a media partner of The Invading Sea. Banner photo: Cables running into a data center server rack (iStock image).
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