Ameren Missouri is asking state utility regulators for permission to raise electricity prices next year, and whether artificial intelligence data centers are paying their fair share for power will be part of the discussion.
The company's proposal, filed to the Missouri Public Service Commission, will unfold over the next 11 months.
As energy demand increases in part due to AI data centers, consumer advocates worry the cost of building new power plants to fuel the tech hubs will fall to Missourians.
"There will also be some debate about how much of the increase needs to be borne by residential customers as opposed to other customers," said John Coffman, attorney for the Consumers Council of Missouri.
Ameren plans to increase energy generation capacity by 50% in the next four years, largely in response to anticipated AI data center usage. Ameren's latest case asks regulators for permission to recoup the cost of 400 new megawatts of power production set to come online by the end of the year — enough electricity to power approximately 70,000 homes annually.
But company officials say thanks to a state law passed more than a year ago, tech companies hoping to build in Missouri must shoulder the cost through what's called a "large load tariff."
"Because of Senate Bill 4, they're required to pay their fair share and that means they're already paying for the infrastructure that all of us are using," said Rob Dixon, vice president of regulatory and legislative affairs for Ameren Missouri.
The company filed what's called a "rate case" with the Missouri Public Service Commission in June. The utility is asking to increase prices to bring in $343 million of additional revenue, which would be approximately $13 per month for the average residential customer.
The company's last rate case in 2025 resulted in utility bills going up $14 per month for the typical energy consumer. If the new case is approved by regulators, the second round of higher prices would take effect in 2027.
Dixon said data center development is not what's causing the utility to raise prices. The company has requested the information about their forthcoming data center customers remain confidential as the rate case is decided.
Ameren officials said the utility has been replacing aging infrastructure across the service territory, installing smart grid technology and upgrading power plants such as a gas facility in Audrain County.
"In Missouri we experience severe weather, we've seen more extreme weather, and these investments do reduce the frequency of outages for our customers, and that's what makes the electric grid more reliable for them," Dixon said.
The Consumers Council has applied to "intervene" in the rate case proceedings. Coffman said the almost 10% proposed increase in electric rates is concerning.
"But it's also an opportunity for us to look under the hood and to examine these costs," he said.
Ameren provides electricity service to large portions of central and eastern Missouri. As part of the rate case filing, the company has requested the ability to implement an income-eligible discount rate for "vulnerable" customers.
The rate case comes as state utility regulators and electricity providers have been exploring ways to make energy assistance programs more efficient over the past year. The rising cost of living, including higher utility bills, have been a concern among the public and taken precedence in politics.
The Missouri Public Services Commission plans to hold public hearings on Ameren's proposal where residents can ask questions of regulators and Ameren officials and share their perspective on the case. State officials will ultimately rule on the amount rates can be adjusted.
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