Official Summary Text
SB 978, as amended, Pérez.
Large-scale energy facilities:
Data centers:
labor: electricity rates.
Existing law vests the Public Utilities Commission (PUC) with regulatory authority over public utilities, including electrical corporations. Existing law authorizes the PUC to fix the rates and charges for every public utility and requires that those rates and charges be just and reasonable.
This bill would require the PUC to establish a special rate structure for
large-scale energy users, who would be defined as customers of electrical corporations operating facilities with operational requirements of at least
data centers, as defined, taking transmission level electrical service with an estimated peak demand of at least
75 megawatts of
electricity, except as provided,
electricity
to
, among other things,
protect other customers of electrical corporations, prohibit cost shifts to those other customers, and require
large-scale energy users
data centers
to pay for the electrical corporations’ upfront costs of transmission or distribution infrastructure upgrades necessary for the provision of electrical service to
those users.
the data centers.
The bill would require the construction of
those facilities
data centers subject to the special rate structure
to comply with certain labor requirements.
Existing law establishes the policy of the state that eligible renewable energy resources and zero-carbon resources supply 90% of all retail sales of electricity to California end-use customers by December 31, 2035, 95% by December 31, 2040, and 100% by December 31, 2045. Existing law requires the PUC, the State Energy Resources Conservation and Development Commission, and the State Air Resources Board, in consultation with all California balancing authorities, to annually issue a joint report related to meeting that state policy.
This bill would require that the joint report also includes the impacts of
large-scale energy users
data
centers subject to the special rate structure
on the state’s ability to achieve the above-described state policy.
Under existing law, a violation of the Public Utilities Act or an order, decision, rule, direction, demand, or requirement of the PUC is a crime.
Because the provisions of the bill would be part of the act and a violation of a PUC action implementing the bill’s requirements would be a crime, this bill would impose a state-mandated local program.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that no reimbursement is required by this act for a specified reason.