Dominion acquisition by NextEra could cost SC customers, groups warn

Mega-utility could bring data center growth, hurt wallets, environment, and communities

CHARLESTON, S.C. — Dominion Energy South Carolina and Florida-based NextEra Energy filed an application with the South Carolina Public Service Commission yesterday seeking approval for NextEra’s acquisition of Dominion Energy. The $67 billion utility acquisition would be the largest in the nation’s history and would create the largest monopoly utility in the country.

While the two companies tout customers’ benefits resulting from this deal, stating that it is “in the public interest” in their filing, nonprofit organizations and consumer advocates caution that it could negatively impact South Carolinian customers, communities, and the environment. In public statements, the utilities have made clear their intent to profit off the AI data center boom through this acquisition. This news comes as multiple South Carolina counties have passed moratoriums pausing data center proposals this year.

“While Dominion and NextEra’s shareholders stand to gain plenty from this deal as they set their sights on data center growth, South Carolinians would ultimately pay for their profits in more ways than one. When utilities build methane gas infrastructure to power data centers, Dominion’s customers foot the bill and face the health and environmental consequences. Our state is facing an energy affordability crisis and rising everyday costs, and at the same time residents are making it clear that we’re concerned about the impacts of data centers and the polluting gas plants increasingly used to power them. We’ll be reviewing the filing closely to make sure this acquisition would not cost South Carolinians much more than it would benefit them.” – Kate Mixson, Senior Attorney at the Southern Environmental Law Center

“The Coastal Conservation League is committed to securing an affordable clean energy future for all who call South Carolina home. The proposed acquisition is not likely to advance that goal. NextEra Energy has made no secret of the fact that they want to buy Dominion Energy so they can profit from the growth of AI data centers in Virginia and South Carolina. Dominion is already planning to spend billions to expand its gas-fired power plant fleet, and we are concerned about the prospect of NextEra doubling-down. Overbuilding gas plants and pipelines for data center speculators would likely lead to much higher electric rates and more pollution, both of which are unacceptable when South Carolinians are already struggling with unaffordable electric bills and healthcare costs.” – Taylor Allred, State Energy & Climate Program Director at the Coastal Conservation League

“As communities across South Carolina are already struggling to pay their bills after a recent Dominion rate increase, this acquisition means that NextEra shareholders, who prioritize corporate growth over local needs, will ultimately have the final say on how Dominion treats its South Carolina customers. An acquisition of this size should not move forward based on promises of a short-term band-aid alone. NextEra has asked for some of the largest rate increases in US history in Florida, and South Carolinians deserve clear evidence that this deal will lower costs, protect customers, and serve the public interest—not simply create a larger utility positioned to profit from growing energy demand. South Carolinians deserve transparency, affordable rates, reliable service, and meaningful protections.” – Jake Duncan, Vote Solar’s Senior Regulatory Director

“Bigger is not always better, when it comes to controlling the cost and environmental impact of electric service. As proposed, NextEra and Dominion stockholders could make billions of dollars in exchange for giving customers in South Carolina effectively peanuts. Our state officials should not rubber stamp the transfer of this state-guaranteed monopoly without strong guarantees around affordability and environmental impact.” – Eddy Moore, Director of Decarbonization at the Southern Alliance for Clean Energy