Henrico County schools and offices told to save power after electricity rates jump 25%
On June 26, John Vithoulkas, the County Manager for Henrico County, Virginia, emailed thousands of staff members. He asked them to conserve electricity because rates for government and school facilities would rise by 25 percent starting July 1. Officials estimate this increase will cost the county approximately $5 million in the next fiscal year.
A hub for servers that costs residents more
The county serves over 350,000 people in eastern Virginia near Richmond. It currently hosts 37 data centers. Developers have plans to add 17 more sites, including converting Civil War battlefields into server farms. Meta opened a facility there in 2017. The location’s proximity to Washington DC and available land turned the area into a major server hub quickly.
Requests for office adjustments
Vithoulkas wrote that employees should turn off lights when leaving their desks or for the day. He asked staff to shut down computers and laptops at the end of each workday. People with windowed offices should adjust blinds to block sunlight heat. The email also requested that individuals unplug appliances, chargers, and other electrical items when not in use. Officials asked staff to limit or stop using space heaters. A single heater can cost the county between $150 and $300 annually.
Local bills and infrastructure
Data centers bring problems and community pushback. At a May meeting regarding new construction, Henrico residents discussed water usage, noise, and rising electric bills. One local woman saw her electricity bill double in January despite using solar panels and a heat pump.
When data centers enter a community, they spike power costs for everyone nearby. Builders often promise to fund infrastructure upgrades to prevent normal people from paying the difference. However, building power lines takes time. Developers frequently rely on short-term solutions like gas and coal turbines. An xAI data center in Mississippi currently runs on 27 gas turbines that emit pollutants. Some new Henrico sites may temporarily use more than 300 diesel generators.
Even with these measures, developers must plug into the local grid. Ratepayers pay the bill until proper infrastructure is built. Last year, the Virginia state legislature approved a rate hike for energy customers. Part of the increase included measures to mitigate costs for regular households. Despite this, power bills have gone up. Now, the county is telling its employees, including teachers and first responders, to tighten their belts.
The email noted that small savings add up. Each dollar saved allows the county to reinvest money into staff and services. Many county buildings already have solar panels. Residents have faced similar challenges in the past.
Henrico County did not return requests for comment from 404 Media.
What it means
The county is shifting the burden of AI infrastructure costs onto public institutions. While the state legislature tried to protect consumers, the immediate impact falls on local budgets and utility rates. Schools and government offices must now manage higher operational expenses caused by the massive energy draw of nearby data centers.
