PIQUA — Piqua’s city commission is considering franchise agreements with AES Ohio to supply power to its new data center.
[DOWNLOAD: Free WHIO-TV News app for alerts as news breaks]
This comes as the city currently lacks the necessary infrastructure to provide power for a large-scale facility.
>>RELATED: Community group planning to take legal action over Piqua data center plans
Piqua’s City Commission is involved because the city runs power through an electric co-op.
TRENDING STORIES:
- Sheriff’s office warns of classic car scam targeting online buyers
- Woman with 7 prior OVI convictions arrested again
- Man charged in 1985 cold case murder at Warren County hotel
“No one wants this data center,” Katie Wagner said.
One after the other on Tuesday night, dozens of Piqua residents urged the commission to vote down the franchise agreement.
People are worried about their power bills going up.
“I have AES. I know it will go up. Tipp, Convington, Fletcher, everywhere. It’s going to go up. Can you make a promise to me Troy won’t go up too?” Wagner said.
The Piqua Power System serves the area where the data center is expected to be built.
It’s expected to enter into agreements with AES Ohio since it has the resources to supply the power needed for a large-scale data center.
“That service agreement will allow AES to provide high transmission power to the customer and this customer only,” AES Ohio Economic Development Lead Rob Beeler said.
>>RELATED:I-TEAM: Data centers, water, and secrets: Companies using NDAs to hide their names, water usage
As previously reported, a non-disclosure agreement prevents the city from saying which company is behind the data center.
But the city said the tech company already agreed to pay for all infrastructure upgrades.
AES Ohio told News Center 7 that it negotiates contracts with large customers, like data centers. Adding residential and business power bills won’t change because of the added demand.
But not everyone is buying it.
“It makes sense to me that if you’re pulling from the same set of power sources. Until something new goes up, your price has to go up because you’ve increased demand and there’s no extra supply,” Solei Larkson, of Piqua, said.
City commissioners are expected to vote on the franchise agreement at a meeting next month.
An AES spokesperson provided the following statement to News Center 7:
“AES Ohio operates under 3 guiding principles to serve large load customers. 1 protecting existing customers- AES Ohio negotiates individual contracts with large load customers to ensure they bear the cost for any new transmission required. 2 transparency- the contracts are publicly filed with FERC which regulates the transmission system and rates 3 - customers benefit from large load customers with upgraded infrastructure improving reliably and resilience, economic development is more feasible, customers are protected from incremental costs and benefit from large load customers payments toward both new and existing infrastructure
AES does not build or approve data centers. Prospective large load customers submit a request to the utility in accordance with regulatory requirements. AES conduct a formal and comprehensive process coordinating with PJM."
[SIGN UP: WHIO-TV Daily Headlines Newsletter]