If you opened your January electric bill and thought, “That seems high,” you weren’t alone. When bills jump, it’s natural to ask what changed. One question I’ve heard quite a bit lately is whether data centers and large energy users are driving up electricity costs.

Here’s what I can tell you. In February, we announced that a global company is building a data center in one of our member co-op territories. From the beginning, we worked to structure an agreement that reflects our cooperative values. The data center will pay for its power, all associated fees, and the full cost of connecting to the grid.

Over 20 years, that agreement is projected to deliver millions of dollars in savings across all 21 Wabash Valley Power Alliance member co-ops. Those savings will help strengthen reliability and support long-term rate stability for co-op families and businesses.

Electricity costs have increased across the country, but the drivers are familiar: fuel markets, infrastructure investment, and extreme weather. Growth by itself isn’t the problem. What matters is how it’s structured and who pays for it. That’s where our focus has been from day one.

So, what caused higher bills this winter? In most cases, it came down to electricity use. When temperatures drop well below normal, heating systems run longer and often switch to auxiliary heat, which uses more electricity. Even if the rate itself doesn’t change, using more energy results in a higher
total bill.

As a member-owned cooperative, we plan for both the short term and the long term. We manage growth carefully. We structure agreements responsibly. And we make decisions with your best interests at the center.

Energy markets will change. Weather will fluctuate. Growth will come. My focus will not change, which is to ensure we are prepared and that we continue delivering reliable, affordable power for the communities we serve.

Jeff Conrad
President and CEO
Wabash Valley Power Alliance