September 10, 2026 — Press Release

States Must Create Energy Affordability Programs; Make Data Centers Cover Added Costs

WASHINGTON – With utility costs rising and more households than ever facing disconnection, states can act to protect their residents from the full impact of spiraling national energy prices. Energy affordability programs are essential for reducing the impact on utility customers of rising prices and keeping utility company profits in check. Individual ratepayers must not be asked to subsidize data centers.. 

A new issue brief, Lowering Household Utility Costs: A Policy Roadmap for State Action, identifies measures states must take to improve affordability and give people tools to maintain essential utility services. Even as data centers line up to be connected to the electrical grid, the brief provides critical actions to keep costs down while protecting customers and the energy system.

“Instead of churning families through a cycle of disconnection and reconnection, utility companies should focus on helping customers stay current on their bills,” said Jenifer Bosco, managing director of energy advocacy at the National Consumer Law Center (NCLC). “States must require data centers and tech companies to bear the full costs of their power demands, not individuals and families.”

States must employ a range of strategies to make a real difference for customers struggling with high utility costs, including:

  • Put affordability first. Adopt utility affordability programs, eliminate utility service junk fees, and replace the overuse of costly and inefficient utility disconnections with policies to help families stay connected.
  • Support cost-effective energy efficiency programs to help lower bills for all ratepayers.
  • Make utility commissions do more to keep utility profits in check, and to make sure that residential utility customers are represented.
  • Take steps to create a cleaner and more affordable energy system.
  • Make sure data centers pay their fair share and provide real benefits for their host communities. Don’t build data centers over community opposition.
  • Rein in overpriced competitive supply and wholesale supply premiums in deregulated states, and support more representation of consumers before RTOs.

States should steer clear of policies that risk worsening the energy insecurity crisis: 

  • Do not eliminate or shrink energy efficiency programs.
  • Do not replace energy efficiency programs with more consumer debt.
  • Do not impose “prepaid” electric service.
  • Avoid overpriced retail competitive supply.
  • Do not make it harder for low-income families to pay their bills. Adopt fair utility debt collection practices instead.

“There is no easy fix to the energy affordability crisis,” said Bosco. “State policymakers must avoid the pitfalls that could worsen the crisis and focus on increasing funding for energy affordability programs while ensuring Big Tech covers the costs of its data centers.” 

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