Sponsored by:
Assemblyman DAVID BAILEY, JR.
District 3 (Cumberland, Gloucester and Salem)
Assemblyman JOE DANIELSEN
District 17 (Middlesex and Somerset)
SYNOPSIS
Requires electric public utilities to develop and apply special tariff for data centers.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning the provision of electricity to data centers and supplementing Title 48 of the Revised Statutes.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. a. As used in this section:
"Board" means the Board of Public Utilities.
"Electric public utility" means the same as the term is defined in section 3 of P.L.1999, c.23 (C.48:3-51).
"Data center" means a facility: (1) whose primary services are the storage, management, and processing of digital data; and (2) that is used to house computer and network systems, including associated components such as servers, network equipment and appliances, telecommunications, and data storage systems, systems for monitoring and managing infrastructure performance, Internet-related equipment and services, data communications connections, environmental controls, fire protection systems, and security systems and services.
b. No later than 180 days after the effective date of this section, each electric public utility shall file an application with the Board of Public Utilities to establish a tariff for the provision of electricity to data centers. The tariff shall be designed to:
(1) ensure that non-data center ratepayers are protected from any increased costs that result from increased electricity demand caused by data centers; and
(2) incentivize data centers to develop and utilize methods to increase energy efficiency, including through the use of technologies that capture and utilize the heat produced by the data center.
c. The board shall expeditiously review, pursuant to the provisions of section 7 of P.L.1999, c.23 (C.48:3-55) and the rules or regulations adopted pursuant thereto, each application submitted pursuant to this section, and shall approve the application if the board determines that it complies with the requirements of this section and all other applicable laws, rules, and regulations.
d. Commencing one year after the effective date of this section, an electric public utility shall apply the tariff developed pursuant to this section to each data center within the electric public utility's service area. The board shall have the authority to determine whether a facility qualifies as a data center pursuant to this section.
2. This act shall take effect
immediately.
STATEMENT
This bill would require each electric public utility in the State to develop and submit to the Board of Public Utilities (BPU) a tariff for data centers.
The bill would require the tariff to be designed to: (1) ensure that non-data center ratepayers are protected from any increased costs that result from increased electricity demand caused by data centers; and (2) incentivize data centers to develop and utilize methods to increase energy efficiency, including through the use of technologies that capture and utilize the heat produced by the data center. Commencing one year after the bill's enactment, the bill would require electric public utilities to apply the tariff to each data center located in their service area.