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Data Centers & Your Electric Service

PPL Electric Utilities

Supporting responsible growth: keeping power reliable and protecting customers

We plan and invest carefully to maintain reliable electric service, with strong protections in place so data center growth does not unfairly affect customer bills. This transparent approach supports local jobs and economic development while keeping customers and communities at the center of every decision.

Reliability comes first

Customer protections built in

Lower costs over time

Communities benefit when growth is responsible

What PPL Electric Does (and What We Don’t)

Our first job is to deliver safe, reliable power—and to make sure growth is handled in a way that protects customers.

  • What we do

    • We study data center requests extensively and plan grid upgrades so power stays reliable for all customers.
    • We invest to modernize and strengthen the electric grid to prepare for rising demand while building a stronger, more resilient electric grid.
    • We coordinate closely with customers and communities and infrastructure projects are subject to regulatory oversight before projects move forward.

  • What we don’t do

    • We don’t “rush” projects — data centers and other large customer connections move forward only after extensive engineering studies confirm reliability will be maintained.
    • We don’t shift costs unfairly — infrastructure needed solely for large customers is paid for by those customers.
    • We don’t own or operate power plants — many data centers commit to build or pay for new generation to serve their growth, adding supply that helps ease demand pressures and reduce supply costs over the long‑term for everyone.

How Your Bill Is Protected

When data centers are built in our service territory, they’re required to pay their fair share, and over time they can actually help lower costs for everyone.

Cost responsibility

Strong protections are in place to ensure infrastructure needed solely for large customers is paid for by those customers.

Long-term commitments reduce risk

Large customers like data centers sign binding agreements with long-term financial and usage commitments to reduce risk to existing customers.

Dedicated rate structure

PPL Electric proposed Pennsylvania’s first large-load rate class with long-term commitments to help prevent other customers from bearing costs if a large customer scales back or exits early (pending regulatory approval).

System benefits over time

As large customers use more energy, they pay a greater share of transmission costs — helping reduce transmission costs for our customers over time.

How Reliability Is Protected

Data centers are connected in ways designed to protect grid reliability, with safeguards in place before they come online.

  • Over the past decade, we have invested to modernize the grid and prepare for rising demand.
  • Our system ranks among the top utilities nationally for reliability and leads the industry in deploying grid‑enhancing technologies that enhances the performance of our existing system.
  • Connections like these are planned carefully, detailed engineering and reliability studies are done up front and are subject to regulatory approval.
  • Requests move forward only after engineering studies confirm reliability will be maintained.

Investments and infrastructure

construction worker

How Communities Can Benefit

Data centers power everyday services we all depend on, including mobile banking, healthcare systems, cloud based work, navigation, streaming, emergency communications and growing AI tools used across the economy. While benefits vary by project and community, communities that host data centers see increased jobs, tax revenue and community investments. Responsible data center growth can support:

  • Family-sustaining construction and skilled trade jobs for local workers, including electricians, trades and engineers.
  • New tax revenue that supports schools, public services and local priorities.
  • Continued community investment and volunteerism backed by PPL Electric’s longstanding local presence.

The Bottom Line

Data centers are an essential part of modern life and critical to our economic competitiveness and national security. Growth is happening—but it’s being managed responsibly. With strong safeguards, regulatory oversight and careful planning, PPL Electric Utilities is working to ensure large-load growth in our service territory:

Keeps power reliable  |  Protects everyday customers  |  Supports jobs and economic growth  |  Respects communities and the environment

person at computer

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Additional Reading

 

Questions you may have about data centers

PPL Electric Utilities

  1. Are data centers causing power outages?
    Large-load connections are studied and planned so existing service remains reliable; requests move forward only after engineering studies confirm reliability will be maintained.
  2. Will data centers raise my electric bill?
    Customer protections help ensure large-load growth doesn’t unfairly affect bills, including cost responsibility and long-term commitments.
  3. Who pays for grid upgrades?
    Infrastructure needed solely for large customers is paid for by those customers.
  4. Do data centers need approval?
    Large-load connections undergo engineering studies, environmental review and are subject to regulatory oversight; infrastructure investments must be approved and shown to support safe, reliable service.
  5. How can my community provide feedback?
    PPL Electric hosts open houses, meets with local officials and landowners, and provides ongoing communications so concerns can be heard and addressed.