North Carolina Report Warns Data Centers Could Raise Utility Costs Across Wake County

New statewide study finds electricity demand could jump up to 60% in 15 years, driven largely by data centers with major implications for infrastructure and utility rates.

Published on Feb. 22, 2026

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A new report from the North Carolina Energy Policy Task Force warns that rapidly growing electricity demand, driven largely by data centers, could significantly impact infrastructure planning and utility rates across the state, including in the fast-growing southern Wake County region. The report projects overall electricity use could rise 16-60% over the next 15 years, with data centers accounting for about 80% of the expected increase. This raises concerns about the potential for "cross-subsidization" where infrastructure built to serve large industrial customers gets incorporated into statewide rates, potentially impacting residential customers. The report also flags water use and emissions as growing concerns tied to the energy demands of large data facilities.

Why it matters

The findings suggest future development decisions in southern Wake County will increasingly hinge on energy supply, infrastructure capacity, and regulatory policy, as projects may be shaped not only by zoning but by electricity requirements, grid capacity, and how costs are distributed across customers. This highlights the broader challenge of balancing economic growth, energy needs, and environmental impacts.

The details

The report comes from the North Carolina Energy Policy Task Force, a state panel created in 2025 to study how to manage rising electricity demand while keeping power affordable, reliable, and clean. It projects overall electricity use could rise 16-60% over the next 15 years, compared to just 7% growth in the previous two decades. Utilities estimate electricity demand tied to economic development projects could jump from 1,800 gigawatt-hours in 2026 to 29,000-33,000 gigawatt-hours by 2030, with data centers accounting for about 80% of that increase. The task force's primary concern is the potential for "cross-subsidization" where infrastructure built for large industrial users gets incorporated into statewide rates, potentially impacting residential customers. The report also flags water use and emissions as growing concerns tied to data centers.

  • The North Carolina Energy Policy Task Force was created in August 2025 by Gov. Josh Stein.
  • The task force's interim report was released on February 15, 2026.
  • The task force is expected to continue its work through 2028 and release a more detailed policy report in early 2027.

The players

North Carolina Energy Policy Task Force

A state panel created in 2025 to study how North Carolina should manage rising electricity demand while keeping power affordable, reliable, and clean.

Gov. Josh Stein

The governor of North Carolina who created the Energy Policy Task Force through an executive order in August 2025.

Reid Wilson

The co-chair of the Energy Policy Task Force and the state's Environmental Quality Secretary.

Kyle Hall

The co-chair of the Energy Policy Task Force and a state representative.

Duke Energy

The utility company that provided data and projections on electricity demand growth in North Carolina.

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What’s next

The North Carolina Energy Policy Task Force is expected to refine its recommendations over the next year, with a more detailed policy report due in early 2027.

The takeaway

As North Carolina's economy grows, electricity demand and the policies that govern it may become one of the defining issues shaping development across the state, including in fast-growing southern Wake County. Balancing economic growth, energy needs, and environmental impacts will be a key challenge for policymakers.