Intel Processor Plant Energy Use to Equal 500,000 Homes - CUSTOMER BILLS MAY PAY FOR INTEL PLANT ENERGY
[An energy charge for a new Intel factory could show up on your AEP Ohio bill soon. Learn more about it and how it affects Ohio electricity rates.]_The a new AEP Ohio energy deal with Intel may bring thousands of good paying jobs to the area, but it will include a rate increase lasting 20 years. Learn what the data industry means to future Ohio electricity rates._
INTEL is building a new computer chip plant [https://www.wosu.org/politics-government/2024-08-02/electric-build-up-for-intel-will-cost-95-million-all-of-aep-ohios-customers-could-be-on-the-hook] in Licking County. However, this kind of plant will require a lot of electricity. With the increased strain on the Ohio grid, this can cause significant problems for customers. Specifically, AEP OHIO [https://www.ohenergyratings.com/companies/aep-ohio] is asking for $95 million in grid improvements and upgrades to combat the increase in power usage. But who will foot the bill? Is it INTEL, who will be using over a half-million homes’ worth of energy? Or will it be customers?
INTEL ENERGY DEAL SOURS SOME CUSTOMERS
Usually, contracts require companies to pay around 40% of the upgrade costs for new infrastructure. However, INTEL is working out a special deal. This deal would allow them to only supply the special circuit breakers they'll need for the plant. Those costs total around $740,000. That leaves $94 million un...
