Manager Articles

OHIO COOPERATIVE LIVING

JUNE 2026

Data center demand
Co-ops working to protect members amid surge in electricity consumption

Anywhere I go these days, it seems like people want to talk to me about one issue: data centers.

We’ve all seen news reports about the proliferation of large data centers, being driven by the rapid rise in artificial intelligence on top of ongoing growth in cloud computing and e-commerce. These reports invariably discuss how data centers consume massive amounts of electricity and the costs that accompany their development.

Ohio is already home to more than 200 data centers, the fifth-most of any state, with more than half of them near Columbus. Recent research shows that, while nearly 90% of existing data centers are in urban areas, two-thirds of new data centers are planned for rural areas. So, this subject is clearly front-and-center for electric co-ops, including Darke Rural Electric Cooperative.

I want first to reassure you that we, both as a local cooperative and as a member-owner of statewide generation and transmission cooperative Buckeye Power, are looking out for our members amid data center discussions.

Darke REC has been approached about serving at least one large-load data center in our area, though no such projects have come to fruition at this point. We’re ready to support local economic growth and will serve any data center that locates in our territory, but not at the expense of our current membership.

In March, Buckeye Power’s board of trustees (composed of representatives of Ohio’s distribution co-ops, including myself), approved a new rate schedule specifically for energy-intensive data centers that will ensure that any additional costs of serving such high-load facilities are borne by those companies, not by existing co-op members.

Because of the amount of electricity they require — sometimes as much as a small city — data centers can necessitate new infrastructure, from power generation plants and transmission lines to substations. By establishing data centers as a separate class of electric load and assigning infrastructure and power costs directly to them, the new rate shields our co-op members from assuming those costs.

Since 1959, Ohio’s electric cooperatives have owned their power generation through Buckeye Power, insulating members from volatile energy market fluctuations and keeping electric rates stable over time. That will continue, as Buckeye Power will preserve existing generation resources to serve current members’ homes, farms, and businesses, along with typical market growth. The data center rate schedule will protect our members as new, large-scale electricity users connect to the grid.

I don’t have a crystal ball to know exactly how the growth of data centers will affect our region and our cooperative in the future, but I can assure you that we’re working with our co-op board, our statewide organization, and Buckeye Power to ensure that our electric system remains reliable, resilient, and affordable for our members.