There is a great deal of discussion about data centers planned for areas in Missouri. Consumers Council is not opposed to data centers in principle. However, we are deeply concerned about their potential impact on electric utility rates. The addition of large-scale data centers to the electric grid will almost certainly require infrastructure expansion to create expanded electric generation. We worry that ordinary household customers may be forced to subsidize new power plants designed to serve the energy needs of data centers.
WHY THIS MATTERS:
Missouri’s investor-owned electric utilities — Ameren, Evergy, and Liberty — strive to earn a profit for their shareholders. These utilities are financially incentivized to build new infrastructure, such as a nuclear plant, because they are allowed to earn a nearly-guaranteed profit of over 9% on capital investments.
Laying the Groundwork for a New Nuclear Power Plant
In 2025, the Missouri Legislature, in coordination with Governor Kehoe, passed Senate Bill 4. This law overturned Missouri’s nearly 50-year ban on “Construction Work in Progress” (CWIP), allowing utilities to charge ratepayers for the cost of building a nuclear power plant before the plant is operational.
Influenced by utility lobbyists and trade unions, lawmakers from both political parties supported SB 4, despite the significant financial burden it will place on consumers who are already struggling to afford their electricity. Consumers Council estimates that constructing a nuclear plant in Missouri under the provisions of SB 4 could increase the average household’s electric utility costs by approximately $500 more per year. That’s how much it could cost each of us during the 10-15 year construction period, before a power plant provides us with any electricity.
Lack of Consumer Representation
On January 13, 2026, Governor Mike Kehoe established the Missouri Advanced Nuclear Energy Task Force. Notably, there is no consumer advocate on this task force. Instead, this “task force” is composed almost exclusively of representatives from state government, the Missouri Public Service Commission (“PSC”), and the electric utilities which lobbied for SB 4 rate increases.
Insufficient Protections for Ratepayers
While the PSC has approved large-load tariffs intended to address the demands of data centers, Consumers Council remains concerned that these measures do not go far enough. Specifically, we worry that:
- Residential and small business customers may end up subsidizing the increased load created by data centers; and
- Ratepayers could be left “holding the bag” if a data center fails to materialize or abandons a planned project after infrastructure costs have already been incurred.
WHAT YOU CAN DO:
Contact your Missouri State Representative, State Senator, and Governor Kehoe. Let them know:
- You are concerned about rising energy costs and energy inflation.
- You want the voter-approved ban on Construction Work in Progress reinstated.
- You are paying attention to how they vote on utility and energy legislation.
Missouri should not build new power plants to serve large data centers on the backs of residential consumers.
