{"id":997440,"date":"2026-08-24T08:05:58","date_gmt":"2026-08-24T12:05:58","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/kentucky-psc-approves-482-mw-power-agreement-for-terawulfs-justified-data-campus\/"},"modified":"2026-08-24T08:05:58","modified_gmt":"2026-08-24T12:05:58","slug":"kentucky-psc-approves-482-mw-power-agreement-for-terawulfs-justified-data-campus","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/kentucky-psc-approves-482-mw-power-agreement-for-terawulfs-justified-data-campus\/","title":{"rendered":"Kentucky PSC Approves 482 MW Power Agreement for TeraWulf\u2019s Justified Data Campus"},"content":{"rendered":"

\nPSC order validates a responsible large-load development model that protects existing customers, assigns project-specific costs and risks to TeraWulf, and creates incremental value for utilities and communities
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EASTON, Md., Aug. 24, 2026 (GLOBE NEWSWIRE) — TeraWulf Inc. (Nasdaq: WULF) (\u201cTeraWulf\u201d or the \u201cCompany\u201d), a vertically integrated owner, developer and operator of large-scale digital infrastructure, today announced that the Kentucky Public Service Commission (\u201cPSC\u201d) has approved the Retail Electric Service Agreement (\u201cRESA\u201d) supporting up to 482 megawatts (\u201cMW\u201d) of electric service for TeraWulf\u2019s Justified Data Campus in Hancock County, Kentucky.<\/p>\n

The approval represents an important milestone for Justified and, in TeraWulf\u2019s view, validates a strong model for responsible large-scale data center development: securing substantial power capacity while ensuring that project-specific costs and risks are borne by the large-load customer, protecting existing ratepayers and creating incremental value for utilities and local communities.<\/p>\n

In its August 21, 2026 order, the Commission concluded:<\/p>\n

\u201cAfter consideration of the entire record, the Commission finds that the proposed RESA contains adequate protections for existing customers, appropriately allocates financial and operational risks, establishes rates that are fair, just and reasonable, and provides for adequate and reliable service.\u201d<\/p>\n

Under the approved structure, TeraWulf is responsible for the market, transmission, delivery and other costs attributable to serving its load, together with customer-specific infrastructure costs and substantial credit-support obligations. The agreement also includes negotiated demand adders and customer charges that provide incremental contributions to Big Rivers Electric Corporation (\u201cBig Rivers\u201d) and Kenergy Corp. (\u201cKenergy\u201d).<\/p>\n

The Commission specifically found that the direct pass-through of market and delivery costs ensures that TeraWulf bears the costs attributable to its service and that the customer-specific terms do not provide TeraWulf an unreasonable preference or advantage or subject other customers to an unreasonable prejudice or disadvantage.<\/p>\n

\u201cPower is the gating factor for AI infrastructure, but how you bring that power to market matters,\u201d said Paul Prager, Chief Executive Officer of TeraWulf. \u201cAt Justified, we\u2019re taking a former industrial site with existing transmission infrastructure and putting it back to productive use at scale. We\u2019re paying the costs associated with our load, protecting existing ratepayers, and making a significant long-term investment in Kentucky. We believe that\u2019s the right model for responsible data center development, and the Commission\u2019s decision is an important validation of that approach.\u201d<\/p>\n

The Justified Data Campus is being developed at the former Century Aluminum Hawesville facility, where approximately 482 MW of existing transmission capability remains available following the closure of the aluminum smelter. Reusing existing industrial infrastructure allows TeraWulf to pair large-scale power availability with redevelopment of a previously industrialized site.<\/p>\n

The PSC also recognized the economic benefits associated with the project, including anticipated capital investment, employment and expansion of the local tax base. Based on current expected development costs of approximately $10 million to $12 million per MW of critical IT load, TeraWulf currently estimates approximately $4.0 billion to $4.5 billion of investment in site development and the initial data halls, exclusive of additional investment by customers in computing equipment and related infrastructure.<\/p>\n

The Commission stated that \u201cthe proposed reuse of an existing industrial site, anticipated capital investment, employment, and additional tax base provide further support for the public-interest benefits asserted in the record.\u201d<\/p>\n

The Commission further found that the RESA\u2019s rate structure, credit protections, cost allocation and operational provisions provide adequate safeguards for system reliability and existing utility customers.<\/p>\n

The PSC\u2019s approval authorizes Big Rivers and Kenergy to implement the RESA in accordance with its terms.<\/p>\n

\n A Scalable Framework for Responsible Digital Infrastructure<\/strong>\n <\/p>\n

TeraWulf believes the Justified structure demonstrates several principles that can support responsible development of large-scale digital infrastructure:<\/p>\n