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OpenAI Secures Regulatory Approval for 3.2GW Power Deal to Support Georgia Data Center

By: IDCNOVARegion: North America
The Georgia Public Service Commission (PSC) has approved a power supply agreement between Georgia Power and OpenAI, clearing the way for the utility to deliver 3.2GW of new generation capacity to serve OpenAI's planned data center campus in Effingham County, Georgia. The decision marks a significant step forward for one of the largest single-site power commitments tied to an AI infrastructure project in the U.S. Southeast.

Under the terms of the contract, Georgia Power will construct the new generating capacity, with OpenAI agreeing to cover the full cost of the infrastructure required to serve the facility. The specific type of generation technology has not been disclosed. In addition, OpenAI has committed to providing up to 1GW of flexible demand response, a measure designed to help stabilize the grid during peak periods. Georgia Power is expected to begin delivering energy to the site between 2028 and 2032.

"Data centers are paying more so families and small businesses can pay less, and our goal with every contract we sign under this framework is to deliver value for them," said Kim Greene, chairman, president and CEO of Georgia Power. "Our customers depend on us for reliable and affordable energy every day, and that is the focus behind every decision we make."

First revealed in July, the OpenAI data center project, dubbed Project Camelia, will be located within the Savannah Gateway Industrial Hub, a 2,600-acre zone designated for industrial use in southeastern Georgia. The campus is expected to include four data center buildings with a combined footprint of 4.4 million sq ft (408,775 sqm). OpenAI has indicated it will invest more than $30 billion in the development, which will also feature a closed-loop water system for cooling, avoiding any diversion of local water supplies.

Effingham County currently hosts no data centers, with most of Georgia's data center activity concentrated in Atlanta and Augusta. The approval signals a notable expansion of the state's digital infrastructure footprint into new regions. For OpenAI, the deal adds to a growing portfolio of large-scale projects across the U.S., including partnerships with Oracle, Crusoe, and Related Digital. The flagship Stargate site is already operational in Abilene, Texas, with additional developments underway in Michigan, Wisconsin, and Texas.

The agreement underscores the growing intersection between AI buildouts and utility-scale energy planning. As hyperscale AI campuses demand unprecedented levels of power, utilities and regulators are increasingly turning to bespoke contracts that shift infrastructure costs to the technology companies themselves. This model, while still evolving, is becoming a template for how large-scale AI facilities can be integrated into existing grids without burdening residential and small business ratepayers.