AES Indiana is asking a state regulatory commission for permission to raise rates. Credit: Photo illustration by Tyler Fenwick/Mirror Indy

AES Indiana is accounting for how data centers will impact how much electricity it needs to produce — and how much customers will pay as a result.

That’s according to the company’s proposed integrated resource plan. Such plans are developed in order to anticipate the utility’s future needs. 

AES staff will discuss how data centers will impact those needs during a virtual presentation on Wednesday, Oct. 22. 

The meeting comes as multiple data centers are proposed within AES’ footprint

Over the past year, Morgan County Commissioners have paved a way for a 390-acre data center to be built in the small town of Monrovia. The facility would be powered by AES Indiana, a local utility provider that serves Marion County and a few other areas, including a section of neighboring Morgan County.

Ben Inskeep, program director for the advocacy group Citizens Action Coalition, said Indy residents could still see bill hikes even though the development is outside of Marion County.

“Costs that are caused by the data center are going to go into the AES Indiana system and are going to potentially be spread out across other types of customers too,” Inskeep said. 

Financial impacts of data centers were at the top of mind for southsiders who opposed the Google development.

The Los Angeles-based company Metrobloks is pursuing a small data center in the Martindale Brightwood neighborhood. And, until recently, Google was proposing the city rezone 468 acres of farmland for a large data center in Franklin Township.

The company’s proposal was withdrawn Monday, Sept. 22, but it’s unclear if Google will resubmit another data center plan in Franklin Township or in another area on the south side. 

There have also been concerns about data centers’ long-term environmental impacts, which Inskeep said could undo AES’ work to reduce carbon emissions. Additionally, an uptick in carbon emissions could release more pollutants that can lead to increased health bills related to respiratory issues, heart attacks and cognitive decline.

It’s unclear if any rate increases from data centers would be in addition to a $10 monthly bill hike that AES will implement by 2027

If you go

The future of AES’ electrical capacity will be discussed during the virtual meeting

Every three years, utilities must produce reports, called integrated resource plans, that anticipate how they will meet energy demands in the future. Utility companies are required to hold public meetings on the plans. The nearly day-long presentation will be the last public meeting AES will hold about its integrated resource plan before it’s submitted.

Residents can listen to AES’ public advisory meeting on its integrated resource plan from 10 a.m. to 3 p.m. Wed., Oct. 22. 

Mirror Indy, a nonprofit newsroom, is funded through grants and donations from individuals, foundations and organizations.

Mirror Indy reporter Elizabeth Gabriel covers the south side of Marion County. Contact her at elizabeth.gabriel@mirrorindy.org. Follow her on X at @_elizabethgabs.

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