No Discounts for Data Centers

January 29, 2026

The Wisconsin Public Service Commission (PSC) will decide how much data centers in We Energies & WPS territory will pay for their electricity and infrastructure. We must ensure that  Wisconsinites do not subsidize Big Tech billionaires through higher energy bills. Both We Energies and Big Tech are trying to take advantage of the AI boom to line their pockets off of data centers at the expense of us.

The big data centers coming to Wisconsin could more than double We Energies’ demand, so the PSC must take action to protect us from footing the bill.

Our experts in this case have recommended a rate structure that includes:

  • To protect ratepayers from subsidizing costs, data centers must pay for 100% of the new energy demand, including the costs of new infrastructure, such as new gas and renewable projects and new transmission lines. The current proposal does not adequately protect We Energies’ customers.
  • Has a low enough threshold to be required to participate, so that all data centers are included
  • Protects us for the full lifetime of the infrastructure, so the data center owner can't walk away and the rest of us are left on the hook
  • Prioritizes new clean energy to avoid risky gas prices and eases access to clean energy resources

Experts for Walnut Way, one of our partners, has also recommended a community benefits agreement or an energy impact fund to offset the impacts on other We Energies' customers. 

On the other hand, We Energies has proposed a rate structure that would:

  • It only covers some of the infrastructure costs and no fuel costs.
  • It’s term-length is too short and leaves Wisconsinites on the hook for the full cost of infrastructure after ten years
  • There is no transparency, which prevents decision-makers, community members, and nonprofits from being part of reasonable and fair planning
  • Its definition of what qualifies as a large user is outrageously high and wouldn’t cover most data centers, leaving Wisconsinites at risk for skyrocketing bills. See this chart by the Union of Concerned Scientists that shows how much of an outlier this would make Wisconsin


We need to make sure the Public Service Commission follows our recommendation and doesn't give in to We Energies and Big Tech.  

Learn more about this proceeding and what you can do at our upcoming webinar, Big Tech Unchecked: No Discounts for Data Centers on February 4 at 6:00 PM.

Here's how you can weigh in:

Make sure your message is clear: 

The PSC should adopt the recommendations by the Sierra Club and Walnut Way and ensure no discounts for data centers.



 

 

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Clean Energy
Data Centers