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CA SB1168
Bill
Status
Introduced
2/18/2026
Primary Sponsor
Jerry McNerney
Click for details
AI Summary
- Imposes new surcharges on natural gas and electricity consumed by data centers in California, effective January 1, 2027, with specific rates to be determined
- Applies to data centers with 20 megawatts or greater capacity that have increased electricity consumption by more than 25,000 kilowatthours since 2021, or increased natural gas consumption by an unspecified threshold
- Creates the Data Center Excess Energy Usage Surcharge Fund in the State Treasury to collect all revenues from these surcharges
- Directs surcharge revenues to low-income rate assistance programs, including California Alternate Rates for Energy (CARE) and Family Electric Rate Assistance (FERA), which currently serve over 1.4 million Californians
- Exempts data centers that primarily use energy for manufacturing tangible personal property, and allows utilities to grant exemptions based on specified criteria
Legislative Description
Data centers: natural gas and electricity: surcharges.
Last Action
Referred to Coms. on E., U & C. and REV. & TAX.
2/26/2026
Committee Referrals
Energy, Utilities and Communications2/26/2026
Rules2/18/2026
Full Bill Text
No bill text available