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Henrico County Urges Energy Cuts as Electricity Rates Jump 25%

Officials say rising power demand from regional data‑center growth will push county and school energy bills up about $5 million.

Overview

  • Henrico County Manager John Vithoulkas sent an all‑staff email on June 26 asking employees to conserve electricity after the rate the county pays rose about 24.9% effective July 1.
  • The county estimates the increase will add roughly $5 million to annual government and school energy costs and warns that further rate rises are possible.
  • Henrico hosts 37 active data centers with plans for about 17 more, and reporters link the price jump to growing demand from Virginia’s 400‑plus data centers concentrated in Northern Virginia.
  • Local officials and residents say some new builds are using hundreds of temporary diesel or gas generators and that data‑center cooling and power needs are straining water and grid infrastructure.
  • Expect the debate to shift to who pays for new lines and fuel costs, with utilities citing infrastructure and maintenance expenses and critics saying ordinary ratepayers are absorbing costs while local governments consider tighter rules and conservation steps.