SB 270: Electric Utilities; review by Public Service Commission of certain contracts with large load data centers further provided for
SB 270 requires Alabama's Public Service Commission to evaluate contracts between utilities and large data centers (defined as facilities using at least 150 megawatts) to ensure they recover the utility's additional "incremental costs" tied to serving these centers. The bill mandates that contracts must also promote "positive benefits" for other utility customers, such as potentially lowering costs, improving grid efficiency, or boosting local economic growth. This applies specifically to contracts with data centers meeting the 150-megawatt threshold and affects utilities, large data center operators, and all other electricity customers in Alabama. The law, effective October 1, 2026, adds new review criteria to the Commission's existing authority under Section 37-4-22.






















