STATEMENT TO

[Second Reprint]

ASSEMBLY, No. 796

with Senate Floor Amendments

(Proposed by Senator BURZICHELLI)

ADOPTED: MAY 28, 2026

      These floor amendments to the bill:

      (1) provide that the bill would apply to “large data centers” rather than “large load data centers,” and authorize the Board of Public Utilities (BPU) to establish a definition of “large data centers,” so long as it includes a minimum size of at least 50 megawatts;

      (2) delete the definition of “large load data center” and add definitions for “capacity value,” “co-located generation,” “demand flexibility,” “large data center,” and “large data center customer”;

      (3) require the BPU to issue a board order within 12 months of the bill’s enactment that contains standards for the provision of electricity to large data center customers, and establish certain content requirements for the board order, as enumerated in subsection b. of section 1 of the bill;

      (4) require electric utilities to file a petition with the BPU for the approval of a rate class and tariff for large load data center customers within 180 days after the BPU issues the board order required by the bill, rather than 180 days after the bill’s enactment;

      (5) include new ratepayer protection provisions to be enforced by the BPU with respect to large data centers, as enumerated in subsection d. of section 1 of the bill;

      (6) provide that the tariffs required under the bill would apply only to new large data centers, rather than to existing data centers;

      (7) add a provision requiring the BPU to accept certain demand reduction contracts, under certain conditions, and authorize the contract to satisfy the demand reduction requirements of the bill;

      (8) require the bill’s ratepayer protection provisions to apply to all rate and service agreements entered into between an electric public utility and a large data center customer, including off-tariff rate agreements; and

      (9) clarify that the bill’s provisions do not affect the jurisdiction of the Federal Energy Regulatory Commission over wholesale sales of electric energy or capacity, or over the rates, terms, and conditions of electric transmission service.