"According to a new study by researchers at Harvard University and the University of Pennsylvania, data centers are probably having only a small effect on residential electricity prices," reports the Washington Post. "The researchers calculated that these operations were responsible for just 4% of the utility rate increases over the last five years..." There are certainly some areas — like in Pennsylvania, Virginia, Ohio and other states covered by grid operator PJM — where data centers have skyrocketed demand, pushing some costs onto residential customers. But multiple studies by different researchers and organizations have failed to find a strong connection between data centers and the overall trajectory of U.S. electricity prices in recent years. Another analysis earlier this year by researchers at the Massachusetts Institute of Technology found that, between 2010 and 2024, data centers increased average electricity prices for residential customers by just 2.1%. Last year, research from the Brattle Group and Lawrence Berkeley National Laboratory found that data centers were actually decreasing costs in certain regions. And another study by the Electric Power Research Institute found that a doubling of data center capacity between 2019 and 2024 resulted in a 4 percent drop in home electricity prices... The new Harvard and Penn study found a slightly higher impact on industrial electricity prices — the price paid by manufacturers and large facilities. For those customers, data centers were responsible for 15% of the price increase between 2020 and 2025. But for ordinary Americans... the changes simply were not substantial [according to Wharton School professor Serguei Netessine, one of the study's authors]. "So far we have no evidence that data centers increase prices all that much," Netessine said. Instead, he said, prices are rising due to more quotidian factors: rising gas prices, an aging electricity grid, and wildfires and hurricanes requiring improvements to the grid and recovery after disaster... If the number of data centers continue to boom, experts say, residential prices could be affected more down the line. Data center electricity demand is expected to increase steeply over the next few years, requiring new power generation — wind, solar or natural gas — to be put onto the grid. And residents have issues with data centers that go beyond the price of electricity. The new developments have been singled out for loud noise, polluting power generation, and for disturbing residential neighborhoods and natural landscapes. According to the Pew Research Center, more than half of Americans say that data centers are mostly bad for the environment. Others feel that the AI race — which could ultimately leave many Americans out of work — is being forced upon them. "I think generally what we're seeing is a broader range of reasons the public has opposed data centers," [said Ryan Hledik, principal at the Brattle Group]. "Concern about AI leading to loss of jobs — all of that is getting packaged together."

Read more of this story at Slashdot.