Co-op News

A compass through the data center demand

October 2026

When megawatts meet the cooperative model, the decisions made must work for the members on the line

“Will this make life better for the members who live on our lines?”

That question is your electric cooperative’s compass. It keeps us pointed toward our true north: the members who own the cooperative and the communities we serve.

Whether we are deciding where to invest in the electric system, planning for future growth or evaluating a request to serve a large new electric load, co-ops start in the same place — with our members.

Our principles are especially important as communities across Oklahoma see growing conversation about data centers and other large electric loads.

A data center is a facility that houses computer equipment and the systems needed to keep that equipment running. They vary in size, purpose, electricity use and impact on the electric system. There is not a “one-size-fits-all approach. Not every data center is built specifically for artificial intelligence.

One of the seven cooperative principles is Education, Training and Information — a commitment to keeping members informed and helping them understand the issues affecting their cooperative. In that spirit, here is a look at five general types of data centers.

Modular and Edge Data Centers

Typical size: 100 kilowatts (kW) to 5 MW

Modular and edge data centers can be deployed relatively quickly in locations where computing resources are needed closer to the people, devices or operations generating the data.

Rather than concentrating enormous computing capacity in one location, edge facilities distribute smaller amounts of computing power closer to where it is being used.

Enterprise Data Centers

Range: 1 to 10 megawatts (MW)

Enterprise data centers are generally owned and operated by a single organization to support its own operations. They tend to have high security requirements.

These facilities may support banks, universities, manufacturers, hospitals and health systems, government agencies and large corporations.

Colocation Data Centers

Range: 5 to 100 MW

A colocation data center houses equipment for multiple customers. Instead of building and operating their own facility, businesses lease space, power and cooling from the data center operator.

Customers maintain their own computer equipment, while the facility operator manages the building, electricity, cooling and physical security.

Cryptocurrency Mining Operations

Typical size: 5 to 100 MW

Cryptocurrency mining facilities can be significant users of electricity and are different from traditional data centers because their operations can be highly sensitive to the price and availability of electricity.

Some mining operations can reduce or temporarily stop electricity consumption quickly when market prices rise or when electric system conditions become constrained.

Hyperscale Data Centers

Range: 20 to 200 MW

Hyperscale facilities are among the largest data centers and are generally associated with major technology companies such as Google, Amazon, Microsoft and Meta.

These facilities often seek locations with access to substantial electric capacity, transmission infrastructure, high-speed fiber, land and, in some cases, renewable energy resources.

Responsible Growth, Not Growth at Any Cost

Based on the cooperative principle of Open and Voluntary Membership, electric cooperatives have a responsibility to carefully evaluate each load.

A cooperative must look at each opportunity and put the interests of the members who own the cooperative first. A new load should only be served when the cooperative can do so responsibly and when it meets criteria established by the co-op to deliver real, measurable benefits without shifting unreasonable costs or risks to existing members.

Co-ops ask practical questions:

What will it require from the electric system?
Who will pay for the infrastructure needed to serve it?
Will the rates charged cover the full cost of service?
And, most importantly, will existing members benefit — or could they end up carrying costs or risks that belong to someone else?

That is where the cooperative model matters.

As member-owned, not-for-profit utilities, electric cooperatives are not looking for growth simply for the sake of growth. We are looking for growth that strengthens the cooperative and benefits the people who own it.

On May 11, 2026 Governor Kevin Stitt signed this law, which creates safeguards to protect Oklahoma families, small businesses and traditional utility customers from bearing utility and infrastructure costs created by large-scale energy users. It establishes a statutory framework intended to prevent existing electric consumers from subsidizing the costs created by large new loads. Oklahoma’s electric cooperatives fully support this bill and were a part of the ceremonial signing on August 6, 2026.

In some cases, large electric loads can bring benefits to a community. A properly designed large-load rate can provide additional revenue, support local economic development and create opportunities to make better use of existing electric infrastructure. However, these benefits depend on the specific circumstances and must make sense for the community and the cooperative.

We are neighbors helping neighbors. When the electric system is stronger, every member benefits. And when costs or risks are shifted unfairly onto one member, the impact ultimately reaches the entire cooperative.

As electric demand rises and energy needs continue to evolve, our guiding question will not change:

Will this make life better for the members who live on our lines?

That is the compass for your electric cooperative.