Electricity: data centers.
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Majority
Fiscal committee
No
Appropriation
No
Current location
In Floor Process
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Progress
Where this bill stands in the legislative process.
- Introduced
- Passed Assembly
- Passed Senate
- To Governor
- Became Law
Overview
This bill requires the California Public Utilities Commission (PUC) to create a separate classification and tariff structure specifically for large energy use facilities, often referred to as data centers, when they connect to the electrical grid. It mandates that electrical corporations and load-serving entities ensure their tariffs meet certain requirements, including allocating costs fairly and avoiding shifting expenses to other consumers. The bill also establishes requirements for community choice aggregators and electric service providers to adopt tariffs consistent with these new data center classifications.
Key provisions
- Requires the PUC to establish a separate tariff classification for large energy use facilities (data centers).
- Specifies requirements for electrical corporations’ tariffs related to cost allocation and avoiding cost shifts to other consumers.
- Mandates that load-serving entities ensure their tariffs meet specific criteria when serving data centers.
- Requires community choice aggregators and electric service providers to adopt tariffs consistent with the new data center classification.
- Sets a January 1, 2028, deadline for the PUC to implement the new classification.
- Defines key terms related to data centers and large energy use facilities.
- Requires data centers to enter into contracts with electrical corporations, with minimum durations of 10 years and early termination fees.
- Requires data centers to report expected investments in onsite generation.
Who is affected
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