# Data centers have already increased electricity prices by $23 billion The sharing of electricity costs remains a topic of debate. - **Source:** [Fortune | FORTUNE](https://brifing.si/source/769282ef-327a-4454-909a-3c7936216004) - **Published:** 2026-07-14 - **Topic:** [Business](https://brifing.si/c/business) - **Original article:** - **On Brifing:** https://brifing.si/s/41f0dda2-a177-44f1-a893-a2b80bcd8245 ## Energy costs of data centers Major tech companies have pledged to fairly contribute to the costs of generating and transmitting electricity to meet the energy needs of data centers. However, how these costs will be calculated is still unclear, and consumers are concerned. ## Effects of price increases The effects of electricity price increases are just beginning, and their full impact may take years to be felt. For example, a report in the PJM market revealed that electricity demand from data centers has increased consumer prices by $23 billion. ## Cost sharing Electricity costs are determined by state public utility commissions. These commissions decide which customers will pay how much for new investments in electricity infrastructure. ## Price setting process Setting electricity prices seems simple in principle but is complex in practice. Regulators identify the costs required to provide service and allocate these costs to customers. ## Cost allocation Costs are allocated to customer categories such as residential, commercial, and industrial. Ideally, costs are allocated to the customers who cause them, but this can be complicated to determine. ## Flexibility and potential loophole Data centers can fine-tune their electricity consumption to exploit potential loopholes in the system. This flexibility allows them to reduce electricity consumption during peak periods and avoid costs. ## Consumer representation Utility regulators solicit input from different groups when deciding how to allocate costs to each customer group. However, residential customers' voices are often not adequately represented. ## Sources covering this story - https://fortune.com/2026/07/14/data-centers-23-billion-electricity-bills/ — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._