Live data from Hacker News

Virginia orders data centers to pay for dedicated new electric infrastructure

realtor.com

11–20 of 22 posts

Re: Virginia orders data centers to pay for dedicated new electric infrastructure

#11
post #5

So now every data center will have run their own wires? The city will be covered in transmission towers, wires, substations. To place new transmission wires, they’ll have to cut down some forest or demolish something.

The power upgrades are required, yes. In some cases people have had their property taken by eminent domain just for power line upgrades. And people wonder why there is so much opposition.

The change here is that the data center will pay the full cost of the upgrade.

Re: Virginia orders data centers to pay for dedicated new electric infrastructure

#12
Sometimes is hard to understand what really happens for me. So regular people compete on price with companies? That is wild. Here the industry in general is the first one to get disconnected from power if there is not enough. This also creates an incentive for people with money to solve the power generation problem that they themselves created.

Re: Virginia orders data centers to pay for dedicated new electric infrastructure

#15
This is something, but it is not enough. I live in Virginia. Virginia has been increasingly importing more and more electricity from West Virginia (coal) and Pennsylvania (natural gas) to power new data centers. Between 2019 and 2023, imports grew 61% [1]. Even though Virginia has been building out solar and offshore wind, between 2023 and 2025 low carbon electricity (renewables + nuclear) actually decreased as a % of the energy mix (28% to 26%) [2]. Virginia won’t commit to building the clean energy generation needed to power the data centers and it won’t build fossil fuel powered generation (which is on paper something I agree with). So it imports the electricity that is both dirty and expensive, and we pay for it. It’s the coward’s way out.

[1] https://cardinalnews.org/2025/01/21/virginia-now-imports-mor...

[2] https://lowcarbonpower.org/region/Virginia

Re: Virginia orders data centers to pay for dedicated new electric infrastructure

#16
post #12

Sometimes is hard to understand what really happens for me. So regular people compete on price with companies? That is wild. Here the industry in general is the first one to get disconnected from power if there is not enough. This also creates an incentive for people with money to solve the power generation problem that they themselves created.

Agriculture pays, on average, probably something like 1/1000th of what residential users pay for water.

Re: Virginia orders data centers to pay for dedicated new electric infrastructure

#17

Virginia also has a tax on electricity, targetting data centers. https://www.forbes.com/sites/robertszczerba/2026/07/13/power... I'm not sure what the status is, getting hard to find out amid so much noise & public coverage that's just blathering heads mostly, but, for the longest time & in many places, data centers were getting charged at industrial rates for power, which is intentionally kept super low to encourage…

There's nuance of course, but in VA, in one county, 37 data centers account for 3GW of power.

They're getting that at those vastly discounted industrial rates. Meanwhile, their utilities are getting ready to foist nearly $20B of works to bring in about that same 2-3GW in from elsewhere because of capacity issues onto all their customers, residential and commercial alike.

Re: Virginia orders data centers to pay for dedicated new electric infrastructure

#18

Virginia also has a tax on electricity, targetting data centers. https://www.forbes.com/sites/robertszczerba/2026/07/13/power... I'm not sure what the status is, getting hard to find out amid so much noise & public coverage that's just blathering heads mostly, but, for the longest time & in many places, data centers were getting charged at industrial rates for power, which is intentionally kept super low to encourage…

There's nuance of course, but in VA, in one county, 37 data centers account for 3GW of power. They're getting that at those vastly discounted industrial rates. Meanwhile, their utilities are getting ready to foist nearly $20B of works to bring in about that same 2-3GW in from elsewhere because of capacity issues onto all their customers, residential and commercial alike.

"Nuance" is perhaps soft-balling it a bit, ha. Yes, MAE-EAST formerly MAE, the home of the internet, is indeed a bit of a data-center hotbed. https://en.wikipedia.org/wiki/MAE-East

There's some good books on this rise too. Internet Alley, for example, https://mitpress.mit.edu/9780262516686/internet-alley/

Re: Virginia orders data centers to pay for dedicated new electric infrastructure

#19
post #12

Sometimes is hard to understand what really happens for me. So regular people compete on price with companies? That is wild. Here the industry in general is the first one to get disconnected from power if there is not enough. This also creates an incentive for people with money to solve the power generation problem that they themselves created.

Agriculture pays, on average, probably something like 1/1000th of what residential users pay for water.

Does much agriculture use the sanitized municipal water supply?

Re: Virginia orders data centers to pay for dedicated new electric infrastructure

#20
post #9

Earlier quoted context omitted.

They already do that. It's just that things like large data centers... actually pay a lot of property taxes. A huge amount compared to their land use. While not really consuming a lot of government services. A building that just needs you to run a transmission line to it once and then sits there unassumingly while paying a disproportionate amount of property tax is the sort of thing municipalities generally offer sig…

You're already describing a race to the bottom there IMHO. Cities or even countries underbid each other to get the golden goose, and then realise they've already bargained away any share of the eggs, and it turns out the goose still shits everywhere.

A competitive bidding process isn't a race to the bottom because it doesn't stop at the bottom, it stops when underbidding someone else is no longer worth it. Which happens when the benefit to the one who wins is still a positive number. It's just not a large number, because otherwise it would still be worth it for someone else to make a better offer.

Obviously it's also possible to make a poor choice and provide more in incentives than you get from having the thing, but in that case they're bidding too low and are only suffering the consequences of their own incompetence.

Post reply on HN