CA SB1298

Authorizes the State Energy Resources Conservation and Development Commission to exempt thermal powerplants up to 150 megawatts from certification requirements if used solely as backup generation for data centers, located on the customer side of the meter, and not interconnected to the distribution system.

Requires facilities granted exemptions to meet best available control technology standards for air pollution, use skilled and trained workforces for construction, and demonstrate that energy efficiency technologies were considered before installing backup generation.

Mandates owners or operators of exempted facilities to fully mitigate air quality impacts as determined by the appropriate air district, including emissions from emergency, maintenance, and testing operations.

Requires annual reporting to the commission and air district by May 1, including hours of operation, fuel type, engine capacity, and engine tier information.

Sunsets the 150-megawatt exemption for data center backup generation on January 1, 2027; reverts to standard 100-megawatt exemption authority thereafter.