While there is plenty for voters to worry about right now, rising utility bills have become a hot-button issue. Democrats’ success in New Jersey, Virginia and Georgia in this week’s elections can be viewed as a referendum on the state of energy policy and infrastructure in the United States, as power grids struggle to keep up with growing electricity demand from artificial intelligence data centers, electric vehicles, and domestic manufacturing.
These issues are not going away, and Democrats now face a tough road to confront those challenges and deliver on their campaign promises to lower electricity prices.
“Consumers have sent a clear message: They care and will hold public officials accountable for decisions that affect their utility bills,” Charles Hua, executive director of the nonprofit consumer advocacy group Powerlines, said in an Election Day news release.
“Now, we have a ghost man.”
One in three American families The United States had to give up necessities like food or medicine to be able to pay its energy bills in 2024, according to a U.S. Census survey. In 2015One in five households said the same in a similar federal poll. It’s a matter called Energy insecurity In political speak, this has been an ongoing problem in the United States for years. But electricity Prices are risingaffecting more people.
New Jersey saw one of the biggest increases, with retail prices jumping as much as 20 percent this summer. Heat map Reports. Governor-elect Mikie Sherrill said during the election campaign that she would quickly declare a state of emergency and freeze interest rate hikes.
Soon to be governor of Virginia Abigail Spanberger campaigned on pledges to increase electricity generation With more nuclear power, offshore wind and solar power. It also emphasized making data centers “[pay] Their fair shareAverage housing costs for electricity It rose 3% in Virginia between May 2024 and 2025, lower than the national average of about 6.5%.. But concerns about the future of the power grid have increased with the boom in artificial intelligence. Virginia has more power-hungry data centers than anywhere else in the world.
“Now, we have a ghost guy — data centers that represent big energy users who come in and in many states get great deals on wholesale electricity prices, when ordinary consumers don’t have that kind of influence,” says Tony Reams, a professor of environmental justice at the University of Michigan and director of the Urban Energy Justice Lab (previously appointed to senior positions within the US Department of Energy during the Joe Biden administration).
Sherrill and Spanberger, who were Once roommates Both also faced off with members of Congress in Washington, DC Republican Party Opponents Who blamed the rising costs on environmental regulations that hamper fossil fuel generation. Voters were not completely convinced. It has become solar and wind energy Cheapest new sources of electricity generationconstitutes a Most new capabilities Planned to come online in the US.
However, Democratic governors-elect face serious headwinds and a lot of uncertainty when it comes to their energy goals. Experts aren’t entirely sure how Sherrill freezes electricity rates, and it usually is hiring By separate regulatory authorities and wholesale auctions. The move may also face legal challenges, Hua says Baron.
Renewable energy projects, and offshore wind energy in particular, are under implementation President Donald Trump’s goal. The Trump administration suddenly issued stop-work orders for offshore wind projects, and GOP lawmakers voted to eliminate key tax breaks for solar and wind.
It takes a long time to create new infrastructure, especially when it comes to nuclear energy. There has been bipartisan support for nuclear power, particularly as a means of generating 24/7 electricity for data centers. Next-generation nuclear reactors are still in the design or demonstration phase, and will likely need several years of licensing and permitting before commercial-scale projects can begin. The Trump administration is trying to speed up that timeline with its regulatory agenda, which is already raising some safety concerns.
Costs and construction delays have also affected conventional nuclear power projects, especially in Georgia. The state is home to the first new reactors built in the United States in more than three decades. After construction began in 2009, Vogtle Units 3 and 4 were commissioned 2023 and 2024 After running about $20 billion over budget.
“A New Electricity Policy in America”
Consumers paid the additional costs through higher utility bills, Reuters Reports. They responded this week by voting for two new Democratic Utility Commissioners. The state Public Service Commission sets electricity rates and oversees utilities, and was previously made up entirely of Republicans.
“The election of two new Public Service Commissioners represents a monumental change in Georgia’s energy landscape and reflects a new politics of electricity in America,” Hua said.
In order to make real change in Americans’ utility bills, lawmakers will have to address a set of fundamental, root problems. There would probably be an entire semester to be taught on this topic, however Heat map He has a nice one Explanatory articlealso. The demand for electricity is growing suddenly Almost more than a decade of settlementThank you very much Data Centers and AI. Methane prices rose after Russia invaded Ukraine and Europe began importing more gas from the United States. Power grids have also incurred more costs due to worsening weather and climate disasters in the United States. America’s aging infrastructure was overdue for modernization anyway, as utilities spent a great deal of money replacing or constructing new power lines and associated infrastructure.
Infrastructure upgrades often result in blanket charges to consumers regardless of energy use or income level. Reforming the way rates are set could be one way to make utility bills more affordable for families facing the difficult decision of “heat or eat,” Reams says. There could be income-based payment plans or special rates set for multifamily units, for example. Then ask data centers or other large commercial energy users to step in, and perhaps create money through legal compliance Community benefits agreements that advocacy groups are already using To reduce the impact of data centers on neighboring communities. These types of agreements can also include terms to support the growth of renewable energy, including shared energy Community solar projects Which can help reduce household bills.
“The focus on energy affordability that has been in this last election should provide us with the opportunity to have a more innovative conversation about how we support households experiencing energy poverty,” Reams says.