Nearly 50,000 residents around Lake Tahoe are about to lose 75% of their electricity supply, and the reason is as predictable as it is infuriating: data centers are more profitable than people.
Starting May 2027, NV Energy will stop providing power to Liberty Utilities, the California company that serves the Lake Tahoe region. Where's all that electricity going? To massive data centers being built by Google, Apple, and Microsoft east of Reno in the Tahoe-Reno Industrial Center. The technology is impressive. The question is whether anyone actually needs nearly 50,000 people to be collateral damage.
Danielle Hughes, a North Lake Tahoe resident and CEO of Tahoe Spark, put it bluntly: "It's like we don't exist."
And she's not wrong. Data centers consumed 22% of Nevada's electricity in 2024. By 2030, that figure could hit 35%. About 75% of NV Energy's major-project load growth is attributed to data centers, concentrated in Northern Nevada - the same region that's been powering Lake Tahoe. The Desert Research Institute projects 12 data center projects could drive 5,900 megawatts of new demand by 2033. That's enough to power millions of homes.
NV Energy spokesperson Katie Jo Collier characterized this as a "planned transition for many years, not a reaction to recent developments." That's utility-speak for: we've known this was coming, and we decided the data centers are worth more to us than you are.
Here's the thing about data center power consumption: we've been covering it in theory for years. Energy-hungry AI training runs. Bitcoin mining operations. Cloud computing at scale. But this is different. This is actual human beings - families, small businesses, a community - being told their access to basic infrastructure is being rerouted to train the next generation of chatbots and recommendation algorithms.
